tl;dr
In November 2024, Palantir Technologies filed a federal lawsuit against two former executives, Radha Jain and Joanna Cohen, accusing them of stealing trade secrets to launch competitor AI startup Percepta. The case, filed in Manhattan, claims the defendants violated non-compete agreements and access...
**Palantir Sues Former Executives for Alleged Trade Secret Theft, Accuses Competitor of "Copycat" Tactics**
Palantir Technologies has launched a high-stakes legal battle against two of its former senior engineers, accusing them of stealing trade secrets to launch a competing AI startup. The federal lawsuit, filed in Manhattan on Thursday, alleges that Radha Jain and Joanna Cohen used confidential information from the data analytics giant to co-found Percepta, an AI integration company backed by venture capital firm General Catalyst.
The complaint paints a picture of deceit and industrial espionage, claiming Jain and Cohen violated contractual obligations by building a "copycat" business that directly challenges Palantir’s core operations. The lawsuit seeks to block the defendants from continuing their "months-long charade of deception and unfair competition," while also demanding emergency injunctive relief, legal fee reimbursement, and an extension of non-compete agreements.
According to the filing, Jain and Cohen were entrusted with Palantir’s "crown jewels," including source code, internal healthcare demonstration workspaces, deployed customer workflows, and proprietary strategies worth billions in investment. The complaint highlights specific actions: Cohen allegedly sent herself highly confidential documents via Slack the day after resigning, including a healthcare revenue cycle diagram and internal demo frameworks, and accessed them on her personal phone. Both engineers allegedly concealed their new employer, refused to sign separation agreements, and left their LinkedIn profiles unchanged for months.
Jain, who played a key role in developing Palantir’s flagship AIP Logic platform, resigned in November 2024, while Cohen, a former Healthcare Lead, left in February. The lawsuit claims they lied about their plans upon departure, with Cohen’s actions described as a "theft" of sensitive materials.
Percepta, which emerged from stealth mode in October, has drawn scrutiny for its business model, which mirrors Palantir’s, and a team composed of nearly half former Palantir employees, including co-founder Hirsh Jain. General Catalyst CEO Hemant Taneja acknowledged Palantir’s value during a Forbes interview, stating his firm was working on creating "a version" of Palantir’s business.
Palantir argues that the stolen documents could "shortcut over a decade of research" and "evade millions of dollars in investment costs," enabling Percepta to replicate Palantir’s most effective demonstrations and undermine its market position. The company also points out that the defendants were paid millions for non-compete and confidentiality agreements, which they allegedly violated.
The lawsuit comes as Palantir secures major government contracts, including a $10 billion U.S. Army deal and a $30 million ImmigrationOS project for U.S. Immigration and Customs Enforcement. However, the company faces internal tensions, as highlighted by Lisa Gordon, Palantir’s head of global communications, who recently expressed concerns about the firm’s shift toward the Trump administration at The Information’s WTF Summit.
Palantir, now valued at $461.54 billion following a dramatic market surge, is positioning the lawsuit as a defense of its intellectual property and competitive edge. The case could set a precedent in the AI sector, where trade secrets and proprietary technology are fiercely guarded. As the legal battle unfolds, the outcome may have far-reaching implications for corporate espionage, non-compete agreements, and the evolving landscape of AI-driven enterprises.