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Employee defection sparks battle between brokerages

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A legal battle has broken out between two insurance brokerages, with Hylant Group alleging Huntington Insurance hired one of its former employees who then lured away two of its clients.

Toledo,Ohio-based Hylant, which has offices in Carmel, alleges former employee Nicholas Iaonnacci, of Indianapolis, violated a two-year non-compete clause of his employment agreement by going to work for Huntington’s Indianapolis office last summer.

Before resigning from Hylant on June 24, Iaonnacci allegedly emailed confidential Hylant information to his personal email account, Hylant alleges in a lawsuit filed last month in Hamilton Superior Court. The email included passwords to databases and a database of prospective clients, the brokerage alleges.

But attorneys for Huntington and Iaonnacci this month filed to transfer the case to U.S. District Court in Indianapolis. They argued federal court was the appropriate venue, given Hylant’s allegations that Iaonnacci violated the federal Computer Fraud and Abuse Act.

According to Hylant’s complaint, a month after Iaonnacci left for Huntington it received notice from the Indiana University Research and Technology Corp. that it was discontinuing its relationship with Hylant.

In March of this year, Hylant lost another client, IDI Fabrication in Noblesville.

“After thoughtful consideration — and three months of trying to track him down — we are going to continue our relationship with Nick Iaonnacci at Huntington,” states a letter IDI’s chief financial officer wrote to Hylant, according to its suit.

Hylant contends it placed a two-year non-compete clause in its employment contract with Iaonnacci because the insurance industry relies heavily upon relationships between brokers and customers that are developed over time.

“In the insurance industry, once a customer is obtained, the reasonable anticipation is that the customer will remain with the broker, continuing to renew policies on an annual basis and earning additional revenue for the broker,” Hylant said in its complaint.

The dollar value of the lost contracts is not quantified in the complaint.

Hylant accuses Huntington of tortuous interference, unjust enrichment and violation of the Computer Fraud and Abuse Act. It wants the court to enforce Iaonnacci’s employment agreement and seeks an unspecified amount of damages for the lost value of business.

Brent Wilder, spokesman for the Columbus, Ohio-based parent of Huntington Insurance, Huntington Bancshares, said it typically doesn’t comment on pending litigation.

Huntington Insurance ranks in the 50 largest agent/brokerage agencies in the U.S. Its Indianapolis office is at 45 N. Pennsylvania St. Hylant has metro area offices at 301 Pennsylvania Parkway in Carmel, where it counts about 60 employees.

Hylant has more than $135 million in premiums written in Indiana and was the 11th largest Indianapolis-area independent insurance agency/brokerage in 2013, according to IBJ research.

 

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  1. Call it unauthorized law if you must, a regulatory wrong, but it was fraud and theft well beyond that, a seeming crime! "In three specific cases, the hearing officer found that Westerfield did little to no work for her clients but only issued a partial refund or no refund at all." That is theft by deception, folks. "In its decision to suspend Westerfield, the Supreme Court noted that she already had a long disciplinary history dating back to 1996 and had previously been suspended in 2004 and indefinitely suspended in 2005. She was reinstated in 2009 after finally giving the commission a response to the grievance for which she was suspended in 2004." WOW -- was the Indiana Supreme Court complicit in her fraud? Talk about being on notice of a real bad actor .... "Further, the justices noted that during her testimony, Westerfield was “disingenuous and evasive” about her relationship with Tope and attempted to distance herself from him. They also wrote that other aggravating factors existed in Westerfield’s case, such as her lack of remorse." WOW, and yet she only got 18 months on the bench, and if she shows up and cries for them in a year and a half, and pays money to JLAP for group therapy ... back in to ride roughshod over hapless clients (or are they "marks") once again! Aint Hoosier lawyering a great money making adventure!!! Just live for the bucks, even if filthy lucre, and come out a-ok. ME on the other hand??? Lifetime banishment for blowing the whistle on unconstitutional governance. Yes, had I ripped off clients or had ANY disciplinary history for doing that I would have fared better, most likely, as that it would have revealed me motivated by Mammon and not Faith. Check it out if you doubt my reading of this, compare and contrast the above 18 months with my lifetime banishment from court, see appendix for Bar Examiners report which the ISC adopted without substantive review: https://www.scribd.com/doc/299040839/2016Petitionforcert-to-SCOTUS

  2. Wow, over a quarter million dollars? That is a a lot of commissary money! Over what time frame? Years I would guess. Anyone ever try to blow the whistle? Probably not, since most Hoosiers who take notice of such things realize that Hoosier whistleblowers are almost always pilloried. If someone did blow the whistle, they were likely fired. The persecution of whistleblowers is a sure sign of far too much government corruption. Details of my own personal experience at the top of Hoosier governance available upon request ... maybe a "fake news" media outlet will have the courage to tell the stories of Hoosier whistleblowers that the "real" Hoosier media (cough) will not deign to touch. (They are part of the problem.)

  3. So if I am reading it right, only if and when African American college students agree to receive checks labeling them as "Negroes" do they receive aid from the UNCF or the Quaker's Educational Fund? In other words, to borrow from the Indiana Appellate Court, "the [nonprofit] supposed to be [their] advocate, refers to [students] in a racially offensive manner. While there is no evidence that [the nonprofits] intended harm to [African American students], the harm was nonetheless inflicted. [Black students are] presented to [academia and future employers] in a racially offensive manner. For these reasons, [such] performance [is] deficient and also prejudice[ial]." Maybe even DEPLORABLE???

  4. I'm the poor soul who spent over 10 years in prison with many many other prisoners trying to kill me for being charged with a sex offense THAT I DID NOT COMMIT i was in jail for a battery charge for helping a friend leave a boyfriend who beat her I've been saying for over 28 years that i did not and would never hurt a child like that mine or anybody's child but NOBODY wants to believe that i might not be guilty of this horrible crime or think that when i say that ALL the paperwork concerning my conviction has strangely DISAPPEARED or even when the long beach judge re-sentenced me over 14 months on a already filed plea bargain out of another districts court then had it filed under a fake name so i could not find while trying to fight my conviction on appeal in a nut shell people are ALWAYS quick to believe the worst about some one well I DID NOT HURT ANY CHILD EVER IN MY LIFE AND HAVE SAID THIS FOR ALMOST 30 YEARS please if anybody can me get some kind of justice it would be greatly appreciated respectfully written wrongly accused Brian Valenti

  5. A high ranking Indiana supreme Court operative caught red handed leading a group using the uber offensive N word! She must denounce or be denounced! (Or not since she is an insider ... rules do not apply to them). Evidence here: http://m.indianacompanies.us/friends-educational-fund-for-negroes.364110.company.v2#top_info

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