Hallstar: Ex-President Hu Admits Trade Secret Theft for Proscien

Former Hallstar Executive Admits Contract Breach

Robert Hu, the former president of Hallstar Beauty & Personal Care, has admitted to violating confidentiality and non-compete agreements. This admission was part of a comprehensive settlement with Hallstar, resolving claims filed in the US District Court for the Northern District of Illinois.

Hallstar's claims against Hu included misappropriation of trade secrets, breach of contract, tortious interference, and breach of fiduciary duty, stemming from his actions to assist a rival business.

Misappropriation of Trade Secrets and Market Entry

Hu acknowledged that he used information and knowledge acquired during his employment at Hallstar to help develop competing product lines for Proscien. These products were marketed under names such as Proshield, Prolive, Proactive, and Prosenteur.

Furthermore, Hu admitted to working on behalf of Proscien to establish distributor relationships in China and South Korea, applying contacts he had developed while at Hallstar. Hallstar stated that it incurred damages as a direct result of Hu's conduct.

Settlement Terms and Non-Compete Agreements

Under the terms of the settlement, Hu has agreed to a 15-year prohibition from accepting employment with, holding an ownership interest in, or otherwise assisting Proscien or its affiliates. He also agreed to a broader two-year non-compete clause applicable across the beauty products industry.

The consent judgment against Hu is enforceable internationally through binding arbitration for any future violations. Hu joined Hallstar in 2012 as R&D vice president, eventually becoming President and Chief Technology Officer of Hallstar Beauty before his departure in 2021.

Broader Litigation and Industry Impact

While the matter with its former officer is resolved, Hallstar continues to pursue claims against Proscien and its founder, Jean-Claude Pierre, related to the same underlying conduct.

This ongoing litigation follows a November 2025 French court ruling that favored Hallstar in a separate case against Proscien, which addressed misleading commercial practices and website non-compliance with French regulations.

For beauty businesses in Asia, this case demonstrates the critical importance of strong confidentiality and non-compete clauses in executive contracts, especially when building distributor networks in key markets like China and South Korea. Companies must safeguard their intellectual property as personnel transition between roles to prevent similar disputes.