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Sequoia Benefits sued over alleged AI app misuse of client data
The complaint says the employee used Granola AI connected to a personal Gmail account starting in April 2026, and the suit was filed October 1, 2026, in federal court in Colorado.
Sequoia Benefits and Insurance Services is facing a federal trade-secrets lawsuit after a former senior client manager allegedly used an unapproved AI note-taking app to capture information from meetings with Sequoia clients, according to Insurance Business.
The complaint describes an inventory of AI-generated meeting notes, a client list spreadsheet, and a benefits calculator that were modified after the employee’s July 2026 resignation to join Alliant Insurance Services, a direct competitor.
Insurance Business reports that the firm says the employee began using the Granola AI app in April 2026, linked to a personal Gmail account rather than a company system, and that the client records never returned.
The case, filed October 1, 2026, in the US District Court for the District of Colorado, includes five claims, covering trade-secret misappropriation under the federal Defend Trade Secrets Act and Colorado’s Uniform Trade Secrets Act, along with breach of contract, breach of a two-year non-solicitation covenant, and breach of the duty of loyalty, Insurance Business said.