Asset Recovery for Corporate Crime Victims

Orrick attorneys have a long history of acting as victim advocates, both in government service as criminal prosecutors, and in private practice.

This experience has proved invaluable in Orrick’s representation of companies that are increasingly the victims of all types of crimes whether the perpetrator is an insider or a competitor. Companies fall victim to crimes such as:

  • Cybercrime including hacking, phishing and malware attacks;
  • Theft of trade secrets and other intellectual property crimes;
  • Illegal counterfeiting of merchandise;
  • Price-fixing in violation of antitrust laws;
  • Embezzlement and kickback schemes;
  • Insider trading; and
  • Fraudulent investment schemes like Ponzi scheme

The era of internet-based crime has brought two further challenges: the anonymity that the internet offers to perpetrators and the ability of perpetrator to commit these crimes while on a different continent. These challenges make it even more important to choose a firm that has the global presence and technical sophistication to obtain compensation for its clients. Orrick attorneys have substantial experience investigating potential problems and obtaining compensation for victims after a problem has surfaced. We have a record of successfully achieving justice for clients in a cost-effective way.

  • The Orrick Approach: Comprehensiveness and Cost-effectiveness

    Comprehensiveness

    The Orrick approach starts with an appraisal of the facts and circumstances of the suspected criminal activity. This analysis includes an evaluation of which forum, given each case’s particular circumstances, is best suited to investigate, conduct discovery, find and liquidate assets (sometimes located outside the United States), recover the victim’s losses, and recover fees. 

    We have a deep bench of lawyers with governmental and private practice experience in both investigation and defense of white collar criminal matters; that same experience is pertinent to assessing facts from a crime victim’s perspective.

    Orrick is uniquely qualified and situated in the legal field to provide asset recovery services, given its depth of experience in each of the legal landscapes available to pursue wrongdoers and recover wrongly obtained assets. Recent rulings interpreting the Mandatory Victims Restitution Act, 18 U.S.C. §3663A, have expanded the scope of expenses a crime victim can recover at the criminal defendant’s sentencing hearing.

    • Orrick’s commercial litigators have extensive experience in state and federal court, should the filing of a civil lawsuit be deemed the best approach;
    • Orrick’s intellectual property litigators have an outstanding record of success with complaints they have filed before the International Trade Commission, which now handles complaints of anti-competitive behavior like theft of trade secrets; 
    • Orrick’s white collar attorneys have had excellent results referring matters involving victim losses to law enforcement agencies for criminal prosecution, and advocating on behalf of victims in criminal court for restitution or remission of the perpetrator’s forfeited assets.
    • Orrick’s insurance recovery attorneys are able to maximize any insurance coverage associated with the direct loss and the costs associated with recovery.

    Furthermore, Orrick has experience in virtually all of the world’s major markets (with particular depth in China) should there be a need for discovery or asset collection outside the United States. Whether acting as counsel to plaintiff in a civil lawsuit, complainant in front of the ITC or victim in criminal court, Orrick attorneys have the expertise to achieve results for its clients.

    Cost-effectiveness

    We have a single point of contact model to ensure responsiveness, quality, and efficiency. Because of the nature of this practice, we employ a variety of alternative pricing arrangements.

  • Fraud

    Fine Art Fraud
    Represented the victim of art fraud when he was sold a phony Picasso painting for $2 million. By referring to the matter to the United States Attorney’s Office for a successful criminal prosecution, we were able to recover for the client more than his $2 million cash outlay. This recovery was comprised of two De Kooning paintings that were seized under the Government’s asset forfeiture powers and the perpetrator’s gallery, a piece of real property the perpetrator provided to our client in connection with the perpetrator’s criminal sentencing.  

    North American Union
    Represented a major North American union that was fraudulently induced to enter into over $25 million of over-priced office equipment leases. After reviewing the available options, we initiated a Maryland state court lawsuit against the office equipment vendor and leasing company and the two banks to which the leases had been secretly been assigned. We were able to resolve the matter on terms very favorable to our client by obtaining judgment over the equipment salesman and settling with the remaining parties. Our insurance recovery attorneys were also able to secure insurance coverage for a substantial part of the fees.

    Theft of Trade Secrets

    Tekmira Pharmaceuticals, Inc.
    Orrick represented Tekmira in this bet-the-company trade secret misappropriation and breach of contract case against its former collaborator Alnylam in Massachusetts state court. Tekmira alleged that Alnylam had taken advantage of the collaboration to misappropriate Tekmira's secret RNAi delivery and manufacturing technology, including by applying for patents on technology developed by Tekmira and by passing off Tekmira's technology as its own. Two days before jury selection, the case settled with Alnylam agreeing to pay Tekmira $75 million in cash and near-term milestone payments, and agreeing to transfer 150 patents and patent applications to Tekmira. Alnylam also agreed to dismiss counter-suits for patent infringement that it had filed in Massachusetts and Canada. The settlement ensured that Tekmira could continue operating by giving it a substantial cash infusion and clarity over its IP rights. The San Francisco Daily Journal described the settlement as a "huge win" for Tekmira. See R. Swan, Orrick Nabs Win for Pharmaceutical Client, S.F. Daily Journal, Nov. 14, 2012

    Brocade Communication Systems, Inc. (formerly Foundry Networks)
    Orrick lawyers secured a victory for client Brocade when a jury verdict awarded Brocade $112 million in damages in an intellectual property infringement and business tort suit against A10 Networks. The federal jury returned a verdict for patent and copyright infringement and trade secret misappropriation that covered A10’s entire AX Series load-balancing server products. The jury also unanimously awarded punitive damages against A10 and against its CEO, strongly condemning their interference with contract. 

    Graystone, a division of Morgan Stanley
    Orrick represented Greystone in obtaining an injunction against certain former employees for theft of trade secrets and violation of noncompete agreements related to wealth management group.

    Computer Hacking

    Technology Platform Provider
    Represented a technology platform provider in a civil action brought against a major spammer and a number of related domestic and foreign defendants. We developed overwhelming evidence, which was presented in mediation, resulting in a multi-million dollar settlement with the defendant.

    Solar Technology Company
    Represented a solar technology company in an action against a former engineer who stole trade secrets, provided them to a competitor and, once discovered, fled to Turkey. We pursued a civil against the perpetrator, resulting in damages and a permanent injunction, coordinated a U.S. law enforcement referral and related processes in Turkey.

    Foreign Hackers
    Through a number of civil actions, developed significant evidence regarding activities of foreign hackers, including financial account theft, malware distribution, spamming and theft of personal information. Based on these actions, we have prepared robust law enforcement referrals. These referrals have contributed to the arrest and conviction of a number of perpetrators of computer and Internet crime who were otherwise very difficult to identify or pursue.

    Insider Trading

    Fortune 500 Company
    Conducted as internal investigation for and represented a number of employees of a Fortune 500 company in connection with insider trading allegations by an employee.

    Counterfeiting

    Cobra Golf
    Represented Cobra Golf as plaintiff in a case involving counterfeiting, unfair competition and trade dress infringement claims under the Lanham Act.

    BIC Corporation
    Acted for plaintiff BIC Corporation in a trademark infringement case involving an ex parte seizure of counterfeit BIC lighters with the Beaumont-based U.S. Marshal Service.

    Acushnet Company
    Acted on behalf of plaintiff Acushnet Company in a case involving trademark infringement, trade dress infringement, counterfeiting and unfair competition claims under the Lanham Act.

    Antitrust Direct/Indirect Purchaser Litigation

    Sony Electronics
    Orrick is representing Sony Electronics in connection with pending antitrust litigation in California federal court with respect to claims related to price fixing of liquid crystal display (LCD), or flat panel, screens. Sony alleges that the defendants conspired to overcharge them for LCD displays and seeks to recover for overpayments and loss of profits on several billion dollars worth of purchases.

    DHL
    Orrick represents DHL in ongoing litigation in the U.S. District Court for the Eastern District of New York, against major air carriers, including Air France, KLM, United, Korean Air, ANA, British Air, Singapore Air, Air Canada, Asiana, El Al, LAN and Cathay Pacific, relating to overcharges DHL paid to a multi-year air carrier cartel. DHL paid more than $500 million in illegal overcharges to the cartel and is pursuing treble damages.