Flexport sues ex-employees for alleged code theft

Flexport is suing former employees Yingwei Zhao and Bryan Lacaillade, claiming they stole over 70,000 confidential documents and source code to launch their startup, Freightmate AI. The lawsuit was filed in California last week. Flexport alleges Zhao used Incognito Mode to download customer lists and source code onto a USB drive. Freightmate acknowledged having some Flexport files but stated they were retained inadvertently and not used. Flexport seeks unspecified damages and an injunction to prevent Freightmate from using the allegedly stolen data. Flexport, valued at $8 billion in 2022, recently raised $260 million, while Freightmate secured $5 million in seed funding in January 2025.