Walker Products Prevails in Federal Lawsuit Against Former Executive
Key Highlights
- Walker Products prevailed in a federal lawsuit against Yue Cong, with a unanimous jury verdict supporting all claims.
- Yue Cong was found liable for trade secret misappropriation, breach of confidentiality, and intentional interference with business relations.
- The case involved Cong's actions while employed at Walker Products, including establishing a competing business using stolen trade secrets.
- Punitive damages were awarded to Walker Products, underscoring the severity of Cong's misconduct.
- The verdict reinforces the company's dedication to protecting its intellectual property and longstanding business relationships.
Walker Products announced that it has prevailed in a federal lawsuit against Yue (Frank) Cong, which was first reported by Aftermarket Business World on Nov. 20, 2025. The decision came following a unanimous jury verdict issued in the United States District Court for the Central District of California.
The jury found in favor of Walker Products on all claims asserted against Cong, unanimously determining him liable for trade secret misappropriation under the Defend Trade Secrets Act and the California Uniform Trade Secrets Act, breach of a confidentiality agreement, intentional interference with contractual relations, and intentional interference with prospective economic relations.
Cong is the owner of Nernex LLC, United American Manufacturing Co. LLC, and All Automotive Megahub Inc., and serves as North American president and CEO of Shanghai Shuo Xiang International Trading Company.
The jury found that Cong engaged in trade secret misappropriation with malice and willfulness and committed intentional interference with malice, oppression, and fraud. In addition to compensatory relief, the jury awarded Walker Products punitive damages.
Evidence presented during trial showed that while employed by Walker Products, Cong, along with others, began establishing a competing automotive business that relied on the unlawful use of Walker's trade secrets, confidential information, and customer and vendor relationships. These actions supported the Nernex brand and private-label automotive aftermarket products supplied to major retailers, according to court findings.
"The verdict reinforces the company's commitment to protecting its intellectual property, contractual rights, and longstanding business relationships," Walker Products stated. "It sends a clear message that misconduct of this nature will be aggressively pursued and held accountable under the law."
Cong was employed by Walker Products for ten years prior to the actions at issue in the case.