MrBeast, legally known as Jimmy Donaldson, is suing a former employee, Leroy Nabors, for breach of contract and misappropriation of trade secrets. The lawsuit alleges that Nabors stole thousands of confidential files and installed hidden cameras inside Beast Industries’ offices. According to the complaint, Nabors exfiltrated sensitive information, including financial records, business transaction details, private employee compensation data, and investor information. Initially employed in the IT department before moving to the development team, Nabors had signed a non-disclosure agreement due to the sensitive nature of his work.
The lawsuit claims that after learning his termination was imminent, Nabors transferred a large volume of confidential data to an unidentified device. He then attempted to cover his tracks by wiping his company-issued laptop. However, a forensic investigation revealed the wipe was unsuccessful, and traces of the stolen data remained. When confronted, Nabors allegedly lied, insisting that all his files had been deleted on his final day. The lawsuit states this claim was “demonstrably false” because evidence showed he had tried to delete the files several days before his termination.
Further complicating his defense, Nabors claimed the data transfer was part of a “routine backup.” However, Beast Industries maintains that no such backup procedure existed — especially not one involving thousands of confidential files. Investigators also discovered Nabors had been syncing data to a personal Dropbox account, providing him access after his departure. In addition to stealing sensitive information, Nabors allegedly installed hidden cameras throughout the offices without employees’ knowledge. Employees reported being unaware of the cameras, though Nabors had a reputation for improperly recording meetings.
Adding another layer to the situation, Nabors’ daughter, the sole managing member of Vine Networks (Vine), had been contracted to manage Beast Industries’ IT systems. Lawyers suspect Vine may have been involved in controlling the hidden surveillance. During the investigation, Beast Industries staff also found a mini-PC attached to the company server. The only application installed on it was Synchro, a program that allows remote access and control of the network. The mini-PC showed logins associated with Nabors, and neither Donaldson nor other company leaders had authorized its installation.
MrBeast is pursuing legal action against Nabors for misappropriation of trade secrets and breach of contract. The company had taken proper precautions by requiring Nabors to sign a non-disclosure agreement. It is suspected that Nabors may have intended to anonymously leak the stolen data on the dark web. While integrity can be difficult to assess during the hiring process, publicly filing this lawsuit sends a clear message: Beast Industries will aggressively pursue legal action against anyone who steals or mishandles internal confidential information.