Wesco Sues Eckart Provide for Alleged Poaching, Commerce Secret Theft

Wesco Worldwide has filed a sweeping federal lawsuit towards fellow electrical provides distributor Eckart Provide and 6 particular person defendants, alleging a coordinated scheme to poach workers, divert clients and misappropriate commerce secrets and techniques in Georgia.

The criticism, filed Dec. 1 within the U.S. District Courtroom for the Northern District of Georgia, names Eckart LLC together with Eckart executives Kevin Kester, Jon Kevin Black, Luke Beverly, Christopher Eric Granger, Matthew Black and James Clint Spratlin as defendants.

Wesco alleges that Eckart labored in live performance with former Atlanta Electrical Distributors (AED) executives to orchestrate the creation of what the criticism repeatedly refers to as “AED 2.0” — a competing Georgia operation constructed by recruiting former Wesco/AED personnel and leveraging confidential enterprise data.

The top objective of Eckart’s effort, Wesco claims, was to make Eckart — or at the least “AED 2.0” enticing for acquisition by a nationwide distributor in order that the co-conspirators “might share within the spoils of an eventual sale.”

Background

Wesco acquired Atlanta-based AED in 2016 and operated it as a subsidiary till June 30, 2025, when AED was merged into Wesco. On the time of the acquisition, AED operated a number of Georgia branches, together with in Suwanee, Canton, Carrollton, Marietta and Conyers.

In keeping with the criticism, AED’s aggressive place was constructed on longstanding buyer relationships, negotiated provider packages, proprietary pricing constructions, mission pipeline intelligence and a skilled workforce.

Alleged “Elevate-and-Shift” Technique

Wesco alleges that former AED co-founders Kester and Kevin Black — who remained with the corporate after the acquisition — started working with Eckart whereas nonetheless employed by Wesco/AED to determine a competing Georgia operation beneath the Eckart banner. 

Eckart’s web site at present exhibits 5 Atlanta-area places.

The lawsuit claims the defendants sought to “elevate and shift” AED/Wesco’s workforce, buyer relationships and provider preparations to Eckart, successfully recreating the AED enterprise inside a brand new entity.

Wesco contends that Kester and Kevin Black have been topic to restrictive covenant agreements that included non-compete, non-solicitation and confidentiality provisions. Related agreements utilized to different former managers, together with Beverly and Granger.

The criticism alleges that, regardless of these agreements, the defendants recruited key department managers, gross sales personnel and different workers to affix Eckart — in some instances whereas nonetheless employed by Wesco.

Wesco claims that greater than 30 workers left AED/Wesco to affix Eckart in 2023 and 2024 as a direct results of the alleged help by the defendants. Due to this, Wesco says, the corporate has needed to rent and practice replacements and incur “different mounting losses.”

Buyer and Provider Diversion

The lawsuit additional alleges that the defendants focused AED/Wesco’s largest clients and suppliers and inspired them to shift enterprise to Eckart.

Wesco particularly names clients, together with Luca Electrical, Lewis Electrical Contractors, VanKirk Electrical, Energy Design and ESU, as amongst these allegedly solicited.

In a single instance detailed within the criticism, Wesco alleges that Luca Electrical — described as a long-standing AED/Wesco buyer — moved substantial enterprise to Eckart in reference to the launch of Eckart’s Georgia operations.

The corporate additionally claims the defendants persuaded clients to maneuver customer-specific value recordsdata and particular pricing preparations from Wesco to Eckart, enabling Eckart to supply decrease pricing on key merchandise.

Commerce Secret Allegations

A central part of the lawsuit entails alleged commerce secret misappropriation.

Wesco claims sure defendants accessed and forwarded confidential data — together with pricing information, bid documentation, provider reviews, mission pipeline data, margin information and huge job spreadsheets — previous to leaving the corporate.

The criticism offers examples of emails allegedly forwarded from firm accounts to private accounts, in addition to alleged diversion of orders and stock to Eckart earlier than sure workers resigned.

Wesco alleges violations beneath each the federal Defend Commerce Secrets and techniques Act and the Georgia Commerce Secrets and techniques Act.

Alleged Enterprise Affect

In keeping with the criticism, the alleged worker departures and buyer losses led to a “sudden, speedy and unprecedented decline in gross sales” at Wesco’s Georgia branches.

Wesco states that some Georgia branches have been shut down following the departures and claims it has misplaced thousands and thousands of {dollars} in income because of the alleged misconduct.

Eckart’s Response

On Feb. 9, Eckart filed a 15-page movement to dismiss the case, stating that Wesco’s declare lacks sufficient details to be believable.

“There are not any details alleged that might create a novel scenario which may give rise to a particular confidential relationship between an employer and worker regarding a selected transaction,” Eckart’s movement reads. “As an alternative, the Criticism merely alleges a conventional employer-employee relationship which is inadequate to determine a fiduciary responsibility.”

Reduction Sought

Wesco is in search of compensatory, consequential and punitive damages, disgorgement of alleged unjust enrichment, attorneys’ charges and injunctive aid.

The requested injunction would prohibit additional solicitation of Wesco workers and clients and require the return or destruction of confidential data.

The corporate has demanded a jury trial.

The case is titled Wesco Distribution, Inc. v. Eckart, LLC, et al.

Further Data

Wesco is the biggest electrical provides distributor in North America and No. 1 on MDM’s 2025 Prime Distributors Record for Electrical/Knowledge/Safety merchandise. The corporate reported its 2025 full-year financials on Feb. 10, displaying annual gross sales of $23.5 billion that grew 8% vs. 2024, accelerating within the second half of the yr. Wesco has over 700 places throughout about 50 international locations, backed by round 21,000 workers.

Corydon, Indiana-based Eckart distributes electrical, plumbing and HVAC provides. Its web site lists 27 places throughout Indiana, Ohio, Kentucky, Georgia and Florida. President and CEO Philip Bennett took over management in 2014. Eckart acquired Automated Controls and Electrical Provide (ACES) in 2023.