Business

IAC sues Tinder co-founder over business documents, escalating court fight

(Reuters) – Online dating company Match Group Inc (MTCH.O) and its owner IAC/InterActiveCorp (IAC.O) has filed a lawsuit accusing Sean Rad, a former employee known for co-founding the popular dating service Tinder, of secretly copying company files and other proprietary information.

The lawsuit, filed in state court in Manhattan on Tuesday evening, came six months after Rad and other Tinder co-founders sued IAC, accusing it of undervaluing Tinder to avoid paying them billions of dollars.

Tinder is one of several dating services under the umbrella of Match Group, which is mostly owned by IAC.

The lawsuit claims at least $250 million in damages.

IAC and Match’s complaint alleged that, in violation of an employment agreement, over several years Rad created backups of internal emails, forwarded company emails to a personal email address, and directly copied company files that included “highly sensitive, non-public information concerning his employers’ business strategies and plans.”

Orin Snyder, a lawyer for Los Angeles-based Rad, did not immediately respond to a request for comment.

Rad’s lawsuit against IAC and Match, filed in August in Manhattan state court, alleged the companies deliberately undervalued the Tinder dating app to limit how much money he and other employees other could make from exercising stock options. IAC and Match denied the allegations.

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