The problem isn't source code theft, it's this, in the words of the Smule CEO [1]: "If you fork off a startup and there's IP overlap, it's just a big mess." A

The problem isn't source code theft, it's this, in the words of the Smule CEO [1]: "If you fork off a startup and there's IP overlap, it's just a big mess." And the big legal mess favors the company with more resources, something Smule knows. Whether the lawsuit is personal doesn't really matter. What matters is that former employees started a company in an overlapping product space, which unfortunately made them an easy target for litigation. 1: http://uk.businessinsider.com/smule-ceo-shred-video-lawsuit-2015-9 http://uk.businessinsider.com/smule-ceo-shred-video-lawsuit-...