NEXA Lending Sues Ex-Employee Over Abusive Conduct, Trade Secret Accusations

NEXA Lending has initiated legal action against a former employee, Austin Dell’Abate, alleging breach of contract, misappropriation of trade secrets, and the dissemination of damaging false statements. The lawsuit, filed in an Arizona federal court on August 7, claims Dell’Abate engaged in tortious interference with the company's customer and referral relationships.

Dell’Abate, who was hired as an independent contractor in May 2026, was terminated at the end of July following numerous complaints regarding his abusive and unprofessional conduct. These complaints reportedly came from independent loan-processing companies, a federal agency, NEXA’s wholesale lender, a borrower, and NEXA’s own staff.

According to court documents, NEXA Lending CEO Mike Kortas stated that Dell’Abate’s behavior included yelling at account executives and NEXA employees, prompting Kortas to block further communication. Upon termination, Dell’Abate was informed that his in-progress loans would be transferred to Walter Brown, NEXA’s director of growth and retention, and that he would not be eligible for rehire.

The filing further asserts that Dell’Abate refused to return NEXA’s loan files, leads, and customer information. He allegedly claimed ownership of NEXA’s client pipeline, solicited and attempted to divert the company’s customers, and published accusations of criminal and predatory conduct against NEXA and its personnel. These actions are cited as violations of his contractual, statutory, and common law obligations.

Since his termination, Dell’Abate has reportedly contacted NEXA via email, asserting ownership of the company’s pipeline and demanding over $50,000. He also accused NEXA of violating a cease-and-desist letter, misrepresenting compensation plans, and engaging in predatory practices, threatening to publicize complaints and escalate the dispute.

Concurrently with the complaint, NEXA filed a motion for a temporary restraining order. The company clarified that the request is not to restrict Dell’Abate’s speech but to prevent him from using or misappropriating NEXA’s trade secrets and confidential information, compel the return of company property, and enforce his signed nonsolicitation agreements. CEO Mike Kortas indicated that increased security measures were necessary due to the harassment.