CREXi settles lawsuit with rival Ten-X

$1.6M settlement closes suit that alleged CREXi stole trade secrets

May.May 11, 2017 05:07 PM
Tim Morse of Ten-X, Michael DeGiorgio of CREXi (Ten-X/CREXi)

CREXi, a commercial real estate platform for brokers and property owners, agreed to pay $1.6 million to rival Ten-X, both companies announced Wednesday in a joint statement.

The agreement stemmed from a complaint Ten-X filed in California Superior Court in April 2016 against the Venice-based startup and its founder Michael DeGiorgio. It claimed DeGiorgio, a former executive at Ten-X, had stolen trade secrets and proprietary information to launch CREXi.

DeGiorgio launched the CREXi website in 2015. The site gave property owners, buyers and brokers an online service to broker deals, schedule tours and see analytics on their listings – similar to the offerings of Ten-X.

“I regret my conduct at the time I departed Ten-X and believe that the settlement is a fair resolution,” DeGiorgio said in a statement. “With the litigation now settled, CREXi looks forward to competing in the commercial real estate marketplace on a level playing field.”

In addition to the settlement payment, the agreement between the companies places additional restrictions on CREXi, including prohibiting the firm from using Ten-X platforms.

Ten-X is the parent company to Ten-X Homes, Ten-X Commercial and Its investors include CapitalG, formerly Google Capital, and Stone Point Capital.

Related Articles

From left: Saeed Nourmand, Michael Nourmand, Grant King and Richard Heyman

Relevant Group sues Nourmand & Associates’ founder, alleging extortion over hotel projects

Centennial founder and CEO Steven Levin with a rendering of the project

Centennial Real Estate approved for sprawling $300M mixed-use village

Apartment complex at 1435 Stanley Avenue and Raintree Partners CEO Jeffrey Allen (Credit: Apartment Finder)

Raintree Partners spends $79M on Glendale multifamily portfolio

LA Mayor Eric Garcetti

Down goes Measure EE: Property tax referendum routed at polls

CIM Group Founders, Shaul Kuba, Richard Ressler, and Avi Shemesh and 4750 Wilshire Boulevard (Credit: Google Maps)

CIM Group lists part of its Miracle Mile office campus

Arman Gabay and The Springs shopping center in Palm Springs, part of the 14-property portfolio

Charles Co. secures $215M refi for retail portfolio

Joon Choi, principal at Harbor Associates, and 2400 Conejo Spectrum Street (Credit: Google Maps)

Harbor Associates leases up then sells off its Thousand Oaks office park

9300 Wilshire Boulevard

Land under historic Beverly Hills office building sells for $25M