The NDA disclosure
How the system reached Huf
This is our account of the 2012 disclosure. It is supported by the NDA itself, the correspondence around it, and a police report. We hold these documents and will provide them to counsel, journalists and Huf’s or Sodecia’s advisers under appropriate terms.
The parties
On one side, the inventors: two people whose work since 2001 had been in identity, security and encryption, who had designed and validated the system between 2006 and 2011, and who held the design documents and software.
On the other, an intermediary presenting himself as an investment broker with a personal connection into Huf. His own background was in connected-car and consumer mobile software, not in identity or security, and he acknowledged as much at the time.
What was agreed
The intermediary proposed an investment in exchange for equity in the inventors’ existing business. An agreement in principle was reached, conditional on the investment being made. Under that arrangement the system was disclosed to him, and through him to Huf, under a non-disclosure agreement that prohibited any transfer or sale of the intellectual property.
What we say happened next
On our account, the intermediary entered a separate turnkey development contract with Huf under which the intellectual property would pass to Huf on delivery, without the inventors’ knowledge or consent, and without the equity or investment that had been agreed. A company was set up that was in substance dormant, with a single director, and shareholdings and directorships were represented to Huf that did not reflect who actually owned the work.
We reported this conduct to UK police as fraud and identity theft, and the matter was recorded as under investigation. We then wrote to Huf setting out what had happened: that the material in its hands was ours, that the affidavits of ownership it had received were false, and that the NDA barred any onward use.
Huf did not withdraw. In February 2015 it announced the technology as its own invention, and in November 2015 it launched Liberkee.
Documents
The following are held and available on request. Items marked “to be added” will be published here in redacted form as the site is completed.
- D-01Non-disclosure agreement, 2012, including the clause prohibiting transfer or sale of IPTo be added
- D-02Agreement in principle with the intermediary, conditional on investmentTo be added
- D-03Design documents and specification disclosed under D-01 (dated 2006 to 2011)Available to counsel
- D-04Correspondence putting Huf on notice, 2012 to 2014To be added
- D-05UK police crime reference and reportAvailable to counsel
- D-06Huf website announcement, February 2015 (archived copy)To be added
- D-07“Anatomy of a Fraud” summary diagram (original site)Held
- D-08GB2516939A as published, 11 February 2015Public