The U.S. Supreme Court has declined to hear an appeal by Tata Consultancy Services challenging a $168 million damages verdict awarded to DXC Technology in a trade secrets dispute. The decision, handed down on June 15, means the lower court's ruling stands, with Tata required to pay the substantial sum to the Ashburn, Virginia-based technology company.
The damages comprise $56 million in compensatory payments and $112 million in punitive damages. Tata had argued that the award lacked proper legal foundation under U.S. trade secret legislation, contending that the damages could not be justified by the applicable statute.
The case dates back to 2019 when DXC—successor to Computer Sciences Corp, or CSC—filed suit in Dallas federal court. The company alleged that Tata recruited roughly 2,200 staff members from insurance company Transamerica who possessed detailed knowledge of CSC's proprietary life-insurance software. DXC claimed Tata leveraged this insider access and expertise to develop a competing platform. Tata denied wrongdoing, asserting that it obtained the software through lawful means and that the information in question did not qualify as trade secrets.
A jury rendered a non-binding advisory verdict in 2023 recommending $210 million in damages. U.S. District Judge Brantley Starr subsequently reduced this figure to $168 million in 2024. When the 5th U.S. Circuit Court of Appeals reviewed the decision in 2025, it upheld Judge Starr's revised award.
Tata's Supreme Court petition centred on two key arguments. The company contended that DXC should have demonstrated actual losses before recovering unjust enrichment damages—the basis of the entire award. It also challenged the punitive component as disproportionate. DXC countered that the appellate court had correctly applied established law to the factual circumstances, leaving no grounds for the nation's highest court to intervene.
