Co-founder sues Redfin for alleged serial thievery

David Eraker claims his tech work contributed to the brokerage/platform’s success

National /
May.May 12, 2020 02:30 PM
Madrona managing director Paul Goodrich, Surefield founder David Eraker, and Redfin CEO Glenn Kelman (Credit: Madrona, Surefield, Redfin)

Madrona managing director Paul Goodrich, Surefield founder David Eraker, and Redfin CEO Glenn Kelman (Credit: Madrona, Surefield, Redfin)

A co-founder who left Redfin in 2006 is suing his former company for copying virtual home tour technology he later developed for his new company, Surefield.

David Eraker filed two suits alleging intellectual property theft regarding two incidents. One alleges that Redfin and venture capital backer Madrona Venture Group address the 3D tour tech. The other alleges Redfin and Madrona effectively stole map-based search tech he developed while at Redfin, according to Geekwire.

In one suit, Eraker claims that Surefield developed and patented a 3D home tour product shortly after he founded the company in 2012. They launched it in April 2014. A few months later, Redfin launched its own 3D home tour product called 3D Walkthrough.

Eraker claims that Redfin used Surefield’s patented technology in 3D Walkthrough and said that his company was unable to attract venture capital funding for its own product because of competition from Redfin.

The other suit alleges that Madrona managing director Paul Goodrich secretly filed a provisional patent application for technology that Eraker invented while Madrona considered a Series A round of investment in Redfin.

The suit alleges that Madrona “kept [the provisional application] off of Redfin’s books before and after the Series A investment, and assigned the application to Redfin only after Mr. Eraker had been ousted from the company.”

Eraker told Geekwire that the suits are an effort to “assert our patents and bring account for the type of behavior” of Redfin and Madrona.

“It matters because this happens all the time,” he said. [Geekwire] — Dennis Lynch


Related Articles

arrow_forward_ios
Redfin CEO Glenn Kelman (Redfin, iStock)
Service divide at forefront of Redfin discrimination suit
Service divide at forefront of Redfin discrimination suit
Outpaced demand spurred largest decline in 18 months: Redfin (iStock)
U.S. home sales dropped 11% amid waning supply
U.S. home sales dropped 11% amid waning supply
(iStock/Illustration by Kevin Rebong for The Real Deal)
Inflation woes split prospective homebuyers, sellers on property plans
Inflation woes split prospective homebuyers, sellers on property plans
Miami notches 4-month streak atop migration interest
Miami notches 4-month streak atop migration interest
Miami notches 4-month streak atop migration interest
Investors bought slightly more than 90,000 homes in the third quarter. (iStock)
Investors smash record with 18% of home purchases
Investors smash record with 18% of home purchases
Competition in the residential market peaked in April when nearly 75 percent of home offers had to contend with at least one other bid. (iStock)
Pressure on home shoppers eases as bidding wars hit 2021 low
Pressure on home shoppers eases as bidding wars hit 2021 low
RE/MAX CEO Adam Contos, eXp CEO Glenn Sanford, and Redfin CEO Glenn Kelman (Facebook, eXp, Redfin)
Resi brokerages’ big quarter: Record revenue, new CEOs and major acquisitions
Resi brokerages’ big quarter: Record revenue, new CEOs and major acquisitions
Homebuyers will be able to utilize ClimateCheck data to assess property risk on Redfin listings (iStock)
ClimateCheck data added to Redfin listings
ClimateCheck data added to Redfin listings
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...