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October 27, 2008

Faegre & Benson Wins Fraud Suit for NetQuote

A jury in U.S. District Court in Denver returned a damages verdict on October 17 in favor of Faegre & Benson LLP client NetQuote Inc.

The jury awarded NetQuote $4.8 million in damages, including $3.2 million in punitive damages, for fraud and intentional interference by Mostchoice.com Inc. The trial began on October 6 before United States Circuit Judge David M. Ebel. NetQuote was represented by Faegre & Benson lawyers Heather C. Perkins and Daniel D. Williams.

NetQuote runs a Web site that allows consumers to comparison shop for insurance. Insurance agents use leads generated through online applications to compete for consumers' business. NetQuote sued competitor Mostchoice and its employee Brandon Byrd after Mostchoice hired Byrd to sabotage NetQuote's business through the submission of bogus leads to NetQuote. Mostchoice then marketed its own services to the NetQuote agents who received the bogus leads.

"The jury recognized that honest business practices must be enforced in relation to Internet commerce just as with brick-and-mortar operations," says Perkins. "We are pleased with the outcome and appreciate the opportunity to have been able to represent NetQuote in this matter."
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