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Las Vegas Casino Supplier Sues Former Employees

13 July 2001

LAS VEGAS, Nevada – July 13, 2001 --A Las Vegas gambling equipment maker sued two former employees, alleging they breached a non-compete agreement when they stole its proprietary information and trade secrets to create a rival business.

JCM American Corp., a maker of bill validators used in slot machines and other devices, sued Harold Richardson, its former support technician and Perry Byrd, its former service supervisor in Clark County District Court.

The suit said Richardson was hired in November 1998 and terminated in April after JCM discovered Richardson allegedly conducted consulting work while he was "on the clock" with JCM and allegedly using its computer equipment and information to prepare brochures for his business, Kronos Technologies.

Byrd, who was hired in May 1995, was accused of violating his one-year non-compete agreement when he resigned in June to join Richardson and allegedly took files, account and client contact information and photographs of JCM equipment to build their new business.

The defendants could not be reached for comment on the allegations.

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