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Consumer Law
Unfair Competition
Intentional Interference With Contractual Relations

Viacom International Inc. v. Netflix Inc.

Published: Jun. 7, 2019 | Result Date: Feb. 22, 2019 | Filing Date: Oct. 5, 2018 |

Case number: 18STCV00496 Demurrer –  Overruled

Judge

Richard E. Rico

Court

Los Angeles County Superior Court


Attorneys

Plaintiff

Pietro A. Deserio
(Proskauer Rose LLP)

Anthony J. Oncidi
(Proskauer Rose LLP)


Defendant

Michael D. Weil
(Morgan, Lewis & Bockius LLP)


Facts

Viacom International Inc. filed a complaint for damages and injunctive relief against Netflix Inc. in relation to Netflix's hiring of a Viacom executive.

Contentions

PLAINTIFF'S CONTENTIONS: Plaintiff contended that Netflix hired Viacom executive Momita Sengupta who was employed pursuant to a term employment agreement that she had entered into with Viacom and that will not expire until April 21, 2020. Plaintiff claimed that despite the fact that Viacom executive Momita Sengupta was employed with Viacom pursuant to a valid, fully enforceable term employment agreement, Netflix targeted Sengupta and knowingly and deliberately induced her to breach her employment agreement with Viacom. Plaintiff claimed Netflix was aware that Sengupta was employed pursuant to a term employment agreement with Viacom, but despite that fact, Netflix flouted well-established law and engaged in an illegal course of dealing designed to tortiously induce Sengupta to breach her employment agreement with Viacom so she could commence employment with Netflix. Plaintiff claimed Netflix promised Sengupta that it would defend and indemnify her and pay for her legal representation should Viacom seek to enforce its legal rights.

Viacom asserted causes of action for intentional interference with contractual relations and unfair competition in violation of California Business and Profession Code Sections 17200, et seq.

DEFENDANT'S CONTENTIONS: Defendant disputed the allegations.

Damages

Plaintiff sought compensatory and punitive damages associated with tortious interference with Sengupta's employment agreement with Viacom.

Result

Netflix filed demurrers and a request for judicial notice in response to the complaint. The demurrer was overruled and the judicial notice request was denied in its entirety.


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