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Manufacturing
8 min read
Areas of Expertise :
Trade Secret, Chemical Engineering, Antitrust, Damages, Materials Science
Published Date:
Last Modified Date:
Jurisdiction:
Federal. Fourth Circuit
Court:
E.I. du Pont de Nemours & Company sued Kolon Industries in the Eastern District of Virginia in 2009, alleging that Kolon obtained and used confidential Kevlar-related information through former DuPont personnel in connection with para-aramid fiber production and sales. The litigation expanded beyond the initial civil claims. Kolon asserted antitrust counterclaims focused on DuPont’s position in the U.S. para-aramid market and its supply agreements, while the district court also addressed pretrial disputes involving discovery, sanctions, and injunctive relief. In 2011, a jury returned a verdict for DuPont and awarded $919.9 million in damages, and the district court later granted injunctive relief. The procedural posture then shifted on appeal as the Fourth Circuit, in separate rulings, reversed the earlier dismissal of Kolon’s antitrust counterclaim in 2011, later affirmed summary judgment against Kolon in the antitrust case in 2014, and also vacated the civil judgment in DuPont’s favor and remanded for further proceedings in 2014.
The case ultimately came to include civil, antitrust, and federal guilty-plea proceedings arising from the same dispute over Kevlar manufacturing and business information. In the civil action, the Fourth Circuit’s 2014 ruling turned on the exclusion of evidence that it found material to Kolon’s defense, while the antitrust appeal addressed market definition, monopoly allegations, and DuPont’s customer supply arrangements. The record also reflects findings and admissions tied to DuPont’s allegations that Kolon obtained DuPont information concerning Kevlar processes, costs, products, and customers, giving the case a clear trade secret dimension grounded in claimed misuse of nonpublic technical and commercial material. In 2015, Kolon pleaded guilty in federal court to conspiracy to steal DuPont Kevlar technology, agreed to pay restitution and fines, and DuPont stated that the companies had resolved all outstanding litigation, bringing the long-running dispute to a close.
DuPont opened the case in the Eastern District of Virginia, alleging that Kolon obtained and used confidential Kevlar-related technical and business information through former DuPont personnel. The complaint framed the dispute around para-aramid fiber manufacturing, product development, costs, and customer information. From the outset, the case centered on nonpublic commercial and technical material that DuPont said gave it a competitive advantage, which is the core context for a trade secret dispute in these sources.
In a separate appellate ruling tied to the same broader dispute, the Fourth Circuit reversed the dismissal of Kolon’s Sherman Act counterclaim and held that Kolon had adequately pleaded a relevant U.S. geographic market. That decision kept the antitrust side of the litigation alive even as DuPont’s civil claims continued in the district court. It also made clear that the case had grown beyond a single misappropriation theory into a broader fight over market power and supply agreements in the para-aramid industry.
After a seven-week trial, the jury found that Kolon had willfully and maliciously misappropriated 149 DuPont trade secrets and awarded DuPont $919.9 million in damages. The available materials publicly identify John C. Jarosz and Robert L. Vigil in connection with DuPont’s damages analysis, and identify Jarosz as a testifier. This was the decisive trial-stage outcome and marked the high point of DuPont’s civil case before the later appeals.
Following the verdict, the district court granted DuPont significant injunctive relief directed at Kolon’s continued use and disclosure of the information at issue. The court concluded that a monetary award alone was not an adequate remedy and imposed a twenty-year injunction with worldwide scope. This phase moved the case beyond damages and into forward-looking relief aimed at preventing continued use of the disputed information.
On the civil side, the Fourth Circuit vacated the judgment in DuPont’s favor and remanded the case, concluding that the exclusion of evidence material to Kolon’s defense required a new trial posture. On the same date, in the separate antitrust appeal, the court affirmed summary judgment for DuPont and ended Kolon’s monopolization claims. These paired rulings sharply changed the legal posture: DuPont lost its verdict in the civil case, but Kolon also lost its antitrust path.
In federal court, Kolon pleaded guilty to conspiracy to steal DuPont trade secrets involving Kevlar technology and agreed to pay $275 million in restitution and $85 million in fines, for a total of $360 million. Reuters also reported that DuPont stated the companies had entered a settlement resolving all outstanding litigation between them. That outcome closed the long-running dispute and supplied the final resolution after years of civil, antitrust, and federal guilty-plea proceedings.
United States Court of Appeals for the Fourth Circuit
Case Name:
E.I. DuPont de Nemours & Company v. Kolon Industries, Inc.
Trade Secret Misappropriation
Theft of Trade Secrets
Defend Trade Secrets Act DTSA
Damages Calculations
Fiber Engineering
E.I. du Pont de Nemours & Company sued Kolon Industries in the Eastern District of Virginia in 2009, alleging that Kolon obtained and used confidential Kevlar-related information through former DuPont personnel in connection with para-aramid fiber production and sales. The litigation expanded beyond the initial civil claims. Kolon asserted antitrust counterclaims focused on DuPont’s position in the U.S. para-aramid market and its supply agreements, while the district court also addressed pretrial disputes involving discovery, sanctions, and injunctive relief. In 2011, a jury returned a verdict for DuPont and awarded $919.9 million in damages, and the district court later granted injunctive relief. The procedural posture then shifted on appeal as the Fourth Circuit, in separate rulings, reversed the earlier dismissal of Kolon’s antitrust counterclaim in 2011, later affirmed summary judgment against Kolon in the antitrust case in 2014, and also vacated the civil judgment in DuPont’s favor and remanded for further proceedings in 2014.
The case ultimately came to include civil, antitrust, and federal guilty-plea proceedings arising from the same dispute over Kevlar manufacturing and business information. In the civil action, the Fourth Circuit’s 2014 ruling turned on the exclusion of evidence that it found material to Kolon’s defense, while the antitrust appeal addressed market definition, monopoly allegations, and DuPont’s customer supply arrangements. The record also reflects findings and admissions tied to DuPont’s allegations that Kolon obtained DuPont information concerning Kevlar processes, costs, products, and customers, giving the case a clear trade secret dimension grounded in claimed misuse of nonpublic technical and commercial material. In 2015, Kolon pleaded guilty in federal court to conspiracy to steal DuPont Kevlar technology, agreed to pay restitution and fines, and DuPont stated that the companies had resolved all outstanding litigation, bringing the long-running dispute to a close.
DuPont opened the case in the Eastern District of Virginia, alleging that Kolon obtained and used confidential Kevlar-related technical and business information through former DuPont personnel. The complaint framed the dispute around para-aramid fiber manufacturing, product development, costs, and customer information. From the outset, the case centered on nonpublic commercial and technical material that DuPont said gave it a competitive advantage, which is the core context for a trade secret dispute in these sources.
In a separate appellate ruling tied to the same broader dispute, the Fourth Circuit reversed the dismissal of Kolon’s Sherman Act counterclaim and held that Kolon had adequately pleaded a relevant U.S. geographic market. That decision kept the antitrust side of the litigation alive even as DuPont’s civil claims continued in the district court. It also made clear that the case had grown beyond a single misappropriation theory into a broader fight over market power and supply agreements in the para-aramid industry.
After a seven-week trial, the jury found that Kolon had willfully and maliciously misappropriated 149 DuPont trade secrets and awarded DuPont $919.9 million in damages. The available materials publicly identify John C. Jarosz and Robert L. Vigil in connection with DuPont’s damages analysis, and identify Jarosz as a testifier. This was the decisive trial-stage outcome and marked the high point of DuPont’s civil case before the later appeals.
Following the verdict, the district court granted DuPont significant injunctive relief directed at Kolon’s continued use and disclosure of the information at issue. The court concluded that a monetary award alone was not an adequate remedy and imposed a twenty-year injunction with worldwide scope. This phase moved the case beyond damages and into forward-looking relief aimed at preventing continued use of the disputed information.
On the civil side, the Fourth Circuit vacated the judgment in DuPont’s favor and remanded the case, concluding that the exclusion of evidence material to Kolon’s defense required a new trial posture. On the same date, in the separate antitrust appeal, the court affirmed summary judgment for DuPont and ended Kolon’s monopolization claims. These paired rulings sharply changed the legal posture: DuPont lost its verdict in the civil case, but Kolon also lost its antitrust path.
In federal court, Kolon pleaded guilty to conspiracy to steal DuPont trade secrets involving Kevlar technology and agreed to pay $275 million in restitution and $85 million in fines, for a total of $360 million. Reuters also reported that DuPont stated the companies had entered a settlement resolving all outstanding litigation between them. That outcome closed the long-running dispute and supplied the final resolution after years of civil, antitrust, and federal guilty-plea proceedings.
Damages Expert Witnesses (Plaintiff)
Publicly available materials identify John C. Jarosz and Robert L. Vigil in connection with DuPont’s damages analysis. Those materials support a careful description that they were associated with damages work tied to DuPont’s claimed losses, and that Jarosz testified regarding that analysis. Based on the source set, it is best not to assign them broader functions beyond damages-related work and testimony.
Trade Secret Expert Witness
A trade secret expert is often engaged in disputes involving confidential technical and business information, internal handling practices, and claims that nonpublic material gave a competitor an unfair advantage. This type of expert may help explain what information was treated as confidential, how companies protect it, and whether the information at issue appears distinct from material available in the public domain. In a case involving Kevlar process, cost, product, and customer information, that role would often be relevant.
Chemical Engineering Expert Witness
A chemical engineering expert is often engaged when the dispute involves para-aramid production methods, process development, product quality, and manufacturing know-how. This expert may explain how technical information relates to fiber production, whether a process is complex to develop independently, and how technical documents connect to plant operations. In a case centered on Kevlar and Heracron production issues, that kind of technical review is often important.
Digital Forensics Expert Witness
A digital forensics expert is often engaged when the case record involves emails, stored files, copied documents, preservation questions, or alleged movement of internal information. This expert may trace file access, review electronic activity, and help organize the sequence of document handling in a way the court can evaluate. In a case with disputes over retained and transmitted company materials, that role is often relevant.
Build the evidentiary record with appeal risk in mind.
The civil judgment in DuPont’s favor was later vacated because the Fourth Circuit found that the exclusion of evidence material to Kolon’s defense required remand. For trial counsel, the record shows that pretrial evidentiary rulings can alter the outcome of a trade secret case even after a major verdict.
Treat related claims as separate tracks with different proof demands.
This dispute moved on parallel civil and antitrust paths, and the results were not the same across those tracks. Lawyers should evaluate early whether market-power theories, supply-agreement claims, and misuse-of-information claims require different factual development, expert framing, and motion practice.
Seek relief that matches the practical use of the disputed information.
After the verdict, the district court concluded that money alone was not an adequate remedy and entered broad injunctive relief. In a trade secret case involving technical processes, product data, cost information, and customer material, counsel should assess whether the requested remedy must address ongoing use as well as past harm.
Develop the confidentiality and access record from the start.
The appellate and district court materials repeatedly place attention on DuPont’s handling of Kevlar information, former employee access, and the movement of internal documents. Attorneys should build a clear factual record on what information was nonpublic, how it was protected, who had access to it, and how it was allegedly transferred or used.
Plan for settlement leverage to change as the case posture changes.
This matter moved from complaint, counterclaim, trial, injunction, and appeals to a later global resolution between the parties. The case shows that settlement posture in a trade secret dispute may shift sharply after a verdict, after appellate rulings, or after related federal proceedings change the risk profile.
DuPont v. Kolon developed from a 2009 civil suit over Kevlar-related technical and business information into a long-running dispute that also included antitrust litigation, a major jury verdict, injunctive relief, appellate reversal in the civil case, affirmance against Kolon on the antitrust claims, and a 2015 resolution that ended the remaining litigation between the parties. The case shows how a trade secret dispute can extend across multiple proceedings when the record involves manufacturing know-how, cost data, product information, and customer material tied to a highly technical market. It also shows that even after a substantial verdict, the final outcome may still turn on evidentiary rulings, appellate review, and later settlement terms.
What was DuPont v. Kolon about?
The case arose from DuPont’s allegations that Kolon obtained and used confidential Kevlar-related technical and business information connected to para-aramid fiber production and sales. The dispute later expanded to include antitrust claims, appellate rulings, and a final resolution between the parties.
When did the DuPont v. Kolon litigation begin?
DuPont filed the civil action in February 2009 in the Eastern District of Virginia. That filing started the main case over Kevlar-related information and led to years of trial and appellate proceedings.
What happened at trial in the DuPont v. Kolon case?
In 2011, after a seven-week trial, a jury found that Kolon had willfully and maliciously misappropriated 149 DuPont trade secrets and awarded DuPont $919.9 million in damages. That verdict was a major turning point, but it did not end the dispute.
Did the $919.9 million DuPont verdict remain in place?
No. In 2014, the Fourth Circuit vacated the civil judgment and remanded the case after concluding that evidence material to Kolon’s defense had been excluded. That ruling changed the posture of the civil trade secret case even after the large jury award.
Was there also an antitrust case between DuPont and Kolon?
Yes. Kolon asserted antitrust claims tied to DuPont’s position in the U.S. para-aramid market and its supply agreements, and those claims followed a separate appellate path. Although an earlier dismissal was reversed in 2011, the Fourth Circuit later affirmed summary judgment for DuPont in the antitrust case in 2014.
How did the DuPont v. Kolon dispute finally end?
Damages Expert Witnesses (Plaintiff)
Publicly available materials identify John C. Jarosz and Robert L. Vigil in connection with DuPont’s damages analysis. Those materials support a careful description that they were associated with damages work tied to DuPont’s claimed losses, and that Jarosz testified regarding that analysis. Based on the source set, it is best not to assign them broader functions beyond damages-related work and testimony.
Trade Secret Expert Witness
A trade secret expert is often engaged in disputes involving confidential technical and business information, internal handling practices, and claims that nonpublic material gave a competitor an unfair advantage. This type of expert may help explain what information was treated as confidential, how companies protect it, and whether the information at issue appears distinct from material available in the public domain. In a case involving Kevlar process, cost, product, and customer information, that role would often be relevant.
Chemical Engineering Expert Witness
A chemical engineering expert is often engaged when the dispute involves para-aramid production methods, process development, product quality, and manufacturing know-how. This expert may explain how technical information relates to fiber production, whether a process is complex to develop independently, and how technical documents connect to plant operations. In a case centered on Kevlar and Heracron production issues, that kind of technical review is often important.
Digital Forensics Expert Witness
A digital forensics expert is often engaged when the case record involves emails, stored files, copied documents, preservation questions, or alleged movement of internal information. This expert may trace file access, review electronic activity, and help organize the sequence of document handling in a way the court can evaluate. In a case with disputes over retained and transmitted company materials, that role is often relevant.
Build the evidentiary record with appeal risk in mind.
The civil judgment in DuPont’s favor was later vacated because the Fourth Circuit found that the exclusion of evidence material to Kolon’s defense required remand. For trial counsel, the record shows that pretrial evidentiary rulings can alter the outcome of a trade secret case even after a major verdict.
Treat related claims as separate tracks with different proof demands.
This dispute moved on parallel civil and antitrust paths, and the results were not the same across those tracks. Lawyers should evaluate early whether market-power theories, supply-agreement claims, and misuse-of-information claims require different factual development, expert framing, and motion practice.
Seek relief that matches the practical use of the disputed information.
After the verdict, the district court concluded that money alone was not an adequate remedy and entered broad injunctive relief. In a trade secret case involving technical processes, product data, cost information, and customer material, counsel should assess whether the requested remedy must address ongoing use as well as past harm.
Develop the confidentiality and access record from the start.
The appellate and district court materials repeatedly place attention on DuPont’s handling of Kevlar information, former employee access, and the movement of internal documents. Attorneys should build a clear factual record on what information was nonpublic, how it was protected, who had access to it, and how it was allegedly transferred or used.
Plan for settlement leverage to change as the case posture changes.
This matter moved from complaint, counterclaim, trial, injunction, and appeals to a later global resolution between the parties. The case shows that settlement posture in a trade secret dispute may shift sharply after a verdict, after appellate rulings, or after related federal proceedings change the risk profile.
DuPont v. Kolon developed from a 2009 civil suit over Kevlar-related technical and business information into a long-running dispute that also included antitrust litigation, a major jury verdict, injunctive relief, appellate reversal in the civil case, affirmance against Kolon on the antitrust claims, and a 2015 resolution that ended the remaining litigation between the parties. The case shows how a trade secret dispute can extend across multiple proceedings when the record involves manufacturing know-how, cost data, product information, and customer material tied to a highly technical market. It also shows that even after a substantial verdict, the final outcome may still turn on evidentiary rulings, appellate review, and later settlement terms.
What was DuPont v. Kolon about?
The case arose from DuPont’s allegations that Kolon obtained and used confidential Kevlar-related technical and business information connected to para-aramid fiber production and sales. The dispute later expanded to include antitrust claims, appellate rulings, and a final resolution between the parties.
When did the DuPont v. Kolon litigation begin?
DuPont filed the civil action in February 2009 in the Eastern District of Virginia. That filing started the main case over Kevlar-related information and led to years of trial and appellate proceedings.
What happened at trial in the DuPont v. Kolon case?
In 2011, after a seven-week trial, a jury found that Kolon had willfully and maliciously misappropriated 149 DuPont trade secrets and awarded DuPont $919.9 million in damages. That verdict was a major turning point, but it did not end the dispute.
Did the $919.9 million DuPont verdict remain in place?
No. In 2014, the Fourth Circuit vacated the civil judgment and remanded the case after concluding that evidence material to Kolon’s defense had been excluded. That ruling changed the posture of the civil trade secret case even after the large jury award.
Was there also an antitrust case between DuPont and Kolon?
Yes. Kolon asserted antitrust claims tied to DuPont’s position in the U.S. para-aramid market and its supply agreements, and those claims followed a separate appellate path. Although an earlier dismissal was reversed in 2011, the Fourth Circuit later affirmed summary judgment for DuPont in the antitrust case in 2014.
How did the DuPont v. Kolon dispute finally end?
In 2015, Kolon pleaded guilty in federal court to conspiracy to steal DuPont trade secrets involving Kevlar technology and agreed to pay $275 million in restitution and $85 million in fines. Reuters also reported that DuPont said the companies had resolved all outstanding litigation, bringing the long-running matter to a close.
Trade Secret Misappropriation
Theft of Trade Secrets
Defend Trade Secrets Act DTSA
Damages Calculations
Fiber Engineering
Manufacturing
Metallurgy, +4
Manufacturing
Manufacturing, +4
Manufacturing
In 2015, Kolon pleaded guilty in federal court to conspiracy to steal DuPont trade secrets involving Kevlar technology and agreed to pay $275 million in restitution and $85 million in fines. Reuters also reported that DuPont said the companies had resolved all outstanding litigation, bringing the long-running matter to a close.