SAN FRANCISCO – November 24, 2025 – Applied Systems filed a lawsuit against Comulate Friday alleging trade secret theft and fraud – claims that are demonstrably false and part of a calculated scheme to eliminate a competitor.

After unsuccessful attempts to acquire Comulate or develop a competitive product, Applied orchestrated a coordinated, multi-front attack: file suit with fabricated claims, immediately weaponize the lawsuit to threaten mutual customers to try to compel contract cancellations, and carefully time the operation to block deployments of Comulate among flagship customers. The goal isn't legal victory – it's market elimination before customers can assess the actual facts and learn the truth.

Applied’s lawsuit culminates years of anticompetitive conduct: data restrictions that trap brokers in Applied's ecosystem and improper efforts to eliminate customer choice and control pricing.

Comulate will countersue to restore free market competition, ensure brokers retain unimpeded ability to use their own data, and hold Applied accountable for anticompetitive conduct that harms the entire industry.

Applied’s Targeting of Comulate

Comulate in just a few years has established itself as a market leader with exceptionally fast revenue and record customer growth. Comulate serves a majority of the Top 100 insurance brokers – including 15+ of the Top 25 – with 99% customer retention. Applied's executives have referred to Comulate as a market leader and even repeatedly marketed their long-promised, still unreleased competitive product as "Comulate Plus".

When Applied couldn't buy us, couldn't build a competing solution, and couldn't stop their own flagship customers from choosing Comulate, they fabricated claims to eliminate through litigation what they couldn't eliminate through competition.

The Facts vs. Applied's Theatrics

Applied claims their "crown jewel" “trade secrets” were stolen. Yet the key pieces of information they call "secret" are publicly published on Applied's website and retrievable via Google search.

Applied's lawsuit hides SDK and API names behind redactions while publishing public documentation for these same systems on its website. If these were valuable trade secrets, they wouldn't be publicly accessible. They claim "fraud" for the very type of access they facilitated and supported since calling standard business practices "theft" plays better in headlines than admitting they lost customers to superior products.

Information for Comulate Customers

Comulate is not going anywhere. The company is exceptionally well-capitalized with strong institutional backing and will continue operations without interruption while pursuing Applied's baseless claims. Comulate will continue to deliver the category-defining product vision and close partnership that has defined the company since day one.

Applied's attack affirms the difference in approach: while Applied threatens customers who work with competitors, Comulate competes on product vision and collaboration, not threats and lawsuits.

For Customers Using Applied Systems

Nothing has changed other than the filing of a frivolous lawsuit.  For years, Applied has provided its customers with access to, and actively facilitated and encouraged the development of, Comulate for one reason: clients want and need it because it is a superior product. That remains true today.

Applied has sent emails to mutual customers about the lawsuit. Applied’s vague threats gesturing at contract breaches – without any specifics and ignoring the years of performance are a test: they want to see if they can coerce customers into giving all your wallet share to Applied. The central question is whether brokers want choice or to embrace permanent restrictions on what they can do with their data.

Comulate encourages customers to consult their own counsel and recognize the situation for what it is: an improper attempt to eliminate consumer choice while fabricating claims about publicly available information that Applied itself publishes. Applied is not entitled to hold the insurance industry hostage.

Comulate is taking legal action to address these improper threats and ensure customers' uninterrupted access to Comulate – or their data with any technology partner they choose – without interference.

For Customers Not Using Applied Systems

Nothing changes. Applied's attack demonstrates the value of choosing an alternative to their anti-customer approach.

Information for Future Customers & All Industry Participants

This is about more than Comulate – it's about whether the insurance technology market operates through competition or coercion. Applied fabricated legal claims, then immediately weaponized them to intimidate customers before anyone could examine the facts. For anyone evaluating vendors, Applied demonstrated what partnership with them means: data held hostage and vendor choices controlled by intimidation.

"We do not take these steps lightly, but Applied has left us no choice," said Jordan Katz, CEO and co-founder of Comulate. "Applied believes they can bully customers into abandoning superior solutions through fabricated legal claims and intimidation. We will hold them accountable and use their brazen attempt to ensure they cannot ever take such egregious and anti-customer action again."

Should Applied cease threatening customers and course correct, Comulate is open to de-escalation so the industry can return focus to what matters.

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About Comulate
Comulate is the technology company leveraging AI to transform the insurance industry. Powering the largest insurance brokers, Comulate's category-defining accounting automation eliminates 90%+ of manual work, creating a radically exciting future for the insurance back office.
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Media Contact
‍comulate@reevemark.com

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