BDT Products Sues Over Alleged Theft of Secrets

BDT Products Inc., an Irvine-based maker of paper-handling systems for computer printers, has filed a $30-million civil suit accusing a Kentucky rival of stealing trade secrets.

BDT, which filed the complaint in San Diego County Superior Court earlier this month, contends that Lexmark International Inc. of Lexington took proprietary design ideas from the Orange County company.

Neither BDT or Lexmark officials could be reached for comment Wednesday.

From 1989 to 1995, the two companies had been exchanging information about computer printer technology and various ways to make the devices more efficient, according to the complaint.

BDT had been pitching its technology--a laser printer that allowed multiple users and paper options--to Lexmark, in hopes the Kentucky firm would incorporate the technique in its own line of printer products, according to the complaint.

Numerous meetings were held, and an agreement was drafted. But in September 1995, Lexmark allegedly ended negotiations right before the deal was signed, the suit claimed.

In May 1997, Lexmark released a line of printers that “incorporated BDT’s technology and know-how as its own,” the suit said.

BDT is suing to recover anticipated lost profits--allegedly $15 million a year--as well as the development costs the company spent adapting its technology for Lexmark’s needs during the negotiation period, according to the complaint.