North American Title Co., Inc. v. Liberty Title Co., Land America Financial Group, Land America Allegiance Co., Dan Wentzel, Steve Gilliland, William Starner, John Thompson
Published: Sep. 13, 2008 | Result Date: May 27, 2008 | Filing Date: Jan. 1, 1900 |Case number: MSC06-00187 Verdict – Defense
Court
Contra Costa Superior
Attorneys
Plaintiff
Defendant
Robert S. Niemann
(Keller & Heckman LLP)
Patrick C. Mullin
(Jackson Lewis LLP)
Charles L. Post
(Weintraub, Tobin, Chediak, Coleman & Grodin Law Corp.)
Dylan B. Carp
(Jackson Lewis PC)
Kathleen C. Slaught
(Seyfarth Shaw LLP)
Experts
Plaintiff
Joseph T. Anastasi
(technical)
Marc S. Margulis
(technical)
Defendant
Michael J. Wagner
(technical)
Facts
The former president and CEO of North American Title, Dan Wentzel, created Liberty Title Co. to be a joint venture with Land America Financial Group and Land America Alliance. About 30 workers from a few North American Title businesses were employed by Liberty Title.
North American Title brought an action against Liberty Title, Land America, Wentzel, and three former North American Title employees (Steve Gilliland, William Starner, and John Thompson). It claimed violations of the Uniform Trade Secrets Act, intentional interference with at will employment, and breach of fiduciary duty.
Contentions
PLAINTIFF'S CONTENTIONS:
North American Title asserted that the three former managers gave salary information regarding workers to Liberty Title and utilized it to persuade North American Title workers to the next company.
DEFENDANTS' CONTENTIONS:
The defense asserted that trade secrets were never misappropriated and rejected any allegations of unlawful conduct.
Damages
North American Title asserted that it was entitled to damages as a result of lost profits, lost market share, salary, stay bonus costs, and lease costs, as well as punitive damages. North American Title requested an award of $24 million from the jury.
Result
Defense verdict for both Land America entities, Wentzel and Thompson, finding that they were not at fault. The jury concluded that Starner and Gilliland were at fault for intentional interference with prospective economic relations and breach of fiduciary duty. The jury also decided that Liberty Title was at fault for intentional interference with at will employment and conspiracy to interfere with at will employment, awarding a verdict amounting to $2.8 million.
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