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PAUI R. FOWKES
Partner

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pfowkes@ DFHIarvfi rm.com

Julv8. 2011

Via E-mailandU.S.Mail JustinTroy PirateCycles 24BlithewoodAvenue Worchester, 01604 MA DearMr. Troy: Pleasebe advisedthat I represent CreativeEngineeringand Manic Mechanic.Please accept asmy client'sformalcease desist this and warning.' In the not too distantpast,you servedas a distributorfor Manic Mechanic'sproducts. you distributed The products includedthe following: CylinderHead;Sprocket Adapter;Intakes (Standard Carb,BoostBottle NT Carb,40 mm NT Carb,CNS Carb);EngineMount, Drive NT Assembly (Spoiler/Morini); and the Clutch Actuator (collectively the "Products"). Manic Mechanic developedand designedall of the forgoing Products,manufactured them, and determined complexformulations all of the Products. for The designand manufacturing Manic Mechanic'sProducts very specificand time of is consuming. It took a significantamountof time, resources labor to figure out the precise and measurements ratiosto obtainthe desired and result. Moreover, ensure measurements to the and ratios were proper, the Productswere prototypedand testedseveraltimes. Manic Mechanic investedsubstantialsums and other resources designingand manufacturing in theseunique Products.Basedon the uniqueand specialized natureof the Products'design, thereis no doubt that Manic Mechanic's Products derivedan economic benefitfrom not beinggenerally knownto or readilyascertainable others.SeeSunCreteof Fla., Inc. v. Sundeck by Prods.,Inc., 452So.2d 973 (FIa.4'nDCA 1984)(finding that plaintiffs adequately demonstrated their complicated that
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On another note, please allow this correspondenceto serve as a reminder that your clients have specific obligations under Florida law regarding preservation of evidence related to my client's claim. As you know, Mr. Merrill and Waterman have a legal duty to preserve all evidence relevant to my client's claim. It is imperative that all documents,data or information in paper andlor electronic form which may concern or relate in any way to my clients and their claim be preserved. The duty to preserve evidence extendsto all documents, whether printed or electronic, that are or might become relevant to this matter. This communication is intended to remind you that you must consult with and advise Mr. Menill and Waterman to immediately halt all procedues or efforts that could modifr or destroy any such relevant documentsand electronic files. DISPARn FowKEs HAsANBAsrc, & PLLC I SOSfnsrJAcKsoil STREETSurrE3lO -TAMPA,FL 89602 (818) 221-O5OOr Frur:(813) 228-7u.77 PHoNE: WWW.DFHLAWFIRM.COM

July 8, 2011 Page2 process for designing a product amounted to a trade secret notwithstandins the availabilitv of some of the raw materials to others in the field). It is axiomatic that the motorized bicycle parts industry is competitive. To assuremarket advantage,Manic Mechanic expends considerableresourcesidentifying, honing, and creating new products to service the bicycle industry. Manic Mechanic's efforts in this regard provide it a continuing economic edge over the competition,which edge is lost or becomesworthless if stolen or misappropriatedby Manic Mechanic's distributors or competitors. As a distributor of Manic Mechanic, you were informed that the Products' design and manufacturing processwas confidential and proprietary businessinformation. In this regard, you assured Manic Mechanic's owner, JamesP. Swarthout,that you would not disclosethe Products process andlot make any attempt to copy the Products. Nonetheless,as a distributor, you had a duty, even in the absenceof a written contractual provision, not to disclose andlor copy the processesfor your own or another's benefit to the detriment of Manic Mechanic. Id. at 206. Irrespective of this duty, you recently sent a text to Mr. Swarthout's wife informing her that you were going to try and copy Manic Mechanic's Products. Even more troubling, it has come to the attention of Manic Mechanic that you are now marketing Manic Mechanic's Products on Pirate Cycles' website. This is a clear violation of the Uniform Trade SecretsAct and constitutestrade dressinfringement. SeeSun Crete of Fla., Inc. v. Sundeck,452So. 2d at206; Carillon Importers Ltd. v. TheFrank PesceGroup, Inc.,9I3 F. Supp. 1559(S.D. Fla. 2007). My client hereby demands that you and your company, Pirate Cycles, immediately ceaseand desist from designing, manufacturing, marketingo and selling copies of Manic MechanictsProducts (passed as your own). Please on confirm on or beforeJuly 18.2011,that you and Pirate Cycles have fully complied with this ceaseand desist demand. Otherwise, we plan to file a law suit shortly thereafter in which Manic Mechanic will seek any and all remedies available to it for your egregious unlawful conduct, including damages,punitive damagesand injunctive relief. Given your recent admission and the evidence contained on your website, we are very confident that a court will grant my client injunctive relief. See Carillon Importers Ltd. v. The Frank PesceGroup, lnc.,973 F. Supp. 1559(S.D. FIa.2007); Premier Lab Supply,Inc. v. Chemplex Industries,l0 So. 3d202 (Fla.4tnDCA 2009). We fully expect that litigation of Manic Mechanic's claims againstyou and Pirate Cycles will be extremely protracted, expensive, burdensometo all involved, and highly public. Be forewarnedthat this will be your onl)zchanceto avoid theseburdens. I greatly appreciateyour attention to this seriousmatter.

Sincerely, DISPARTI FOWKES & HASANBASIC, PLLC

Paul R. Fowkes