The jury found beyond reasonable doubt SilverFox Innovations of Colorado Springs, Colorado, and its partners, identified as former CTI employees; Eric Cathie; John L. Davis; Jacob Melcher and Robert Ugianskis ‘misappropriated’ company trade secrets and business information to copy the company’s proprietary technology.
Coors Light cans with cold-activated inks
Coca-Cola used the ‘thermochromic inks,’ which are temperature-sensitive on a summer time 16oz promotional can and Coors Light used a cold indicator using cold-activated inks to enhance its message of “Beer as Cold as the Rockies.”
FoodProductionDaily contacted CTI for further comment but the firm would only release a statement from Lyle Small, founder and president, CTI, which said the firm takes its intellectual property very seriously and will protect it.
“CTI has spent 21 years innovating with chemistry that helps brands alert, protect and surprise their customers. We are continuing to investigate the matter,” said Small.
The jury verdict was handed down on June 5, 2015 in the El Paso County District Court in Colorado Springs, Colorado. The court also ruled the employees actions were ‘attended by circumstances of fraud, malice or willful and wanton disregard of CTI’s rights’.
Further action to be taken by CTI
A Preliminary Injunction has been issued prohibiting further misappropriation of CTI’s trade secrets by the defendants and there are additional action(s) to be taken on behalf of and by the Plaintiff (CTI) against the four former employees.
Small created CTI when he was a Cornell University chemistry student, in 1993, building ink molecules to find different stimuli to turn inks “on and off” – also known as “smart inks.”
Today the business manufactures thermochromic materials for packaging, and exports to 52 countries.
The company announced an expansion to its thermochromic inks this year offering hundreds of new colors for decorating metal cans, a process referred to in the industry as "metal deco."
Awarded new patents for its technology
Thermochromic metal decorating technology is designed for high-speed can printing lines (2,000 cans per minute). High Velocity Ink is the most powerful can ink with temperature inks activated at a certain temperature.
At set temperatures, colors will appear and disappear. CTI thermochromic technology includes; temperature ink that changes color when exposed to set temperatures; touch-activated ink which is a temperature-sensitive ink that disappears when in contact with body heat and heat-activated ink which fades away when certain high temperatures are reached.
CTI has also been recently awarded new patents for thermochromic ink for metal decoration and the company’s Ice Writer, which provides children with a drawing device featuring a frozen pen and an erasable mat which can be colored and reused.