Mutual of Omaha Mortgage sued Waterstone Mortgage two years ago, claiming the competitor lifted 60 employees, including branch managers, out of three of its East Coast branches which subsequently shuttered. A jury trial is scheduled to begin next Monday in Tampa. 

The proceedings are scheduled less than two weeks after a federal judge allowed for jurors to consider damages stemming from multiple pain points. 

"The court will allow damages regarding the loan volume attributable to branch managers to be considered if the evidence establishes the managers were unlawfully solicited by other employees," wrote Anthony E. Porcelli, a magistrate judge for the U.S. District Court of Florida's Middle District. 

His May 22 order also allowed an expert witness for Mutual of Omaha to testify. Waterstone attempted to block the expert, who earlier calculated the plaintiff's future lost profits up to $28 million over a 10-year period. Porcelli ordered the company to adjust that calculation for a 30-month period. 

Ari Karen, partner and head of litigation, labor and employment, said Wednesday on behalf of Mutual of Omaha that his side was pleased with the decision. Neither an attorney for Waterstone nor representatives for either company responded to requests for comment. 

The case is one of a few poaching and theft of trade secrets cases that arose during the industry's busy refinance boom which is going to trial. Battles between major lenders, like Loandepot and CrossCountry Mortgage, appear headed for prolonged litigation. 

Waterstone lured Mutual of Omaha branch managers with payments of $250,000 and $500,000 to switch firms and solicit team members, according to case filings. Employees allegedly took with them customer information, and their departures forced the closing of branches in Daytona and Tampa in Florida, and Paramus, New Jersey.

Mutual of Omaha earlier this month also asked a judge to exclude testimony regarding their former employers' job satisfaction, suggesting it amounted to character evidence, which typically isn't admissible. The court as of Wednesday hadn't responded to that motion. 

The Wisconsin-based home loan subsidiary of publicly traded Waterstone Financial counts over 300 registered mortgage loan originators and 50 branches, according to the latest data from the Nationwide Multistate Licensing System. It produced over $2.1 billion in mortgage origination volume last year, according to S&P Global data. 

Mutual of Omaha, operated by the insurance giant, last February bought Keller Mortgage assets amid a dark business stretch for lenders. The lender has 778 sponsored MLOs per NMLS data and amassed over $1.5 billion in volume last year, S&P shows.