The authorized fracas between Edelman Monetary Engines and Mariner Wealth Advisors reveals no signal of abating, because the rivals are pushing the choose to rule of their favor earlier than trial whereas every tries to exclude knowledgeable testimony from the opposing aspect.
Final Friday, Mariner and Edelman filed oppositions to motions for abstract judgment that every agency beforehand submitted. (In a abstract judgment, a choose guidelines in favor of 1 celebration earlier than a full trial.)
Edelman first sued Mariner in 2023alleging it lured quite a few advisors to interrupt non-solicitation agreements and steal commerce secrets and techniques, whereas Mariner responded that Edelman was utilizing the lawsuit to ship “a chilling public message” to “stifle honest competitors.”
Whereas a lot of Edelman’s opposition to Mariner’s abstract judgment movement was positioned beneath seal and isn’t publicly accessible, Mariner’s opposition to Edelman’s abstract judgment try careworn that the agency didn’t instruct former Edelman advisors to repeat consumer names.
Moreover, Mariner asserted that “whereas a consumer checklist can, beneath sure circumstances, represent a commerce secret, a ‘mere checklist’ of consumers’ names doesn’t represent a commerce secret.”
“A consumer checklist can solely rise to the extent of a protectable commerce secret when the checklist accommodates one thing greater than names and get in touch with data,” Mariner argued, saying Edelman failed to call a single case in its arguments the place “consumer names alone” had been thought-about commerce secrets and techniques.
Each corporations additionally filed motions making an attempt to cease their rivals from utilizing knowledgeable testimony from witnesses. Mariner’s witness is Phil Waxelbaum, an business marketing consultant with earlier stints at Deutsche Financial institution, JPMorgan and UBS, whereas David Bones, a forensic accountant on the danger consulting agency HKA, is testifying for Edelman.
As with quite a few different court docket paperwork, some arguments and proof for and in opposition to, together with their testimonies, stay beneath seal, however in its September movement to exclude Bones’ testimony, Mariner attorneys argued his “opinions are inadmissible as a result of they’re neither grounded on enough details or knowledge, nor are they the product of dependable rules or strategies.”
In the meantime, Edelman argued that Waxelbaum’s argument that Mariner’s recruitment and onboarding practices had been “in step with business requirements” was “irrelevant,” and that simply because Waxelbaum discovered Mariner’s practices “allegedly typical” didn’t make them authorized.
“Furthermore, if Mr. Waxelbaum is allowed to testify, it’s extremely doubtless that the jury will confuse what he deems to be the ‘business normal’ for the authorized normal, and should absolve Mariner of legal responsibility as a result of their practices had been purportedly ‘customary,’ no matter whether or not they violated the legislation,” Edelman’s September movement learn.
Earlier this 12 months, Edelman accused Mariner CEO Marty Bicknell of personally making an attempt to entice at the very least one Edelman advisor to change corporations. The agency argued that Bicknell known as Edelman advisor Michael Horne in promoting the swap; Horne resigned from Edelman in 2021.
In response to a portion of a transcript for a deposition Bicknell gave in Might that Edelman submitted as a part of its temporary opposing Mariner’s abstract judgment movement, the Mariner CEO acknowledged talking to Horne earlier than he had been employed, although there aren’t any particulars about what the dialog entailed.
Mariner declined to remark. An Edelman spokesperson stated the agency was “deeply dedicated to placing out purchasers’ greatest pursuits first,” and that “each motion we take is guided by our unwavering responsibility to our purchasers,” although wouldn’t remark particularly on the case.
