35
Write memo for company’s legal claims or defense.
To:
From:
Date:
Subject: Company’s Legal Claims or Defense
Introduction
After investigating the breach of confidentiality agreement, Greene's Jewelry Wholesale found out that the confidential information was released to ‘Howell’ by Jennifer Lawson. It was also observed on the part of the legal team as well as the higher management of Greene that this release of information regarding the process of making “Ever-Gold” is going to have significantly detrimental effect on its business. The situation of loss of market share as well as revenue has been identified by the higher management. Because Jennifer Lawson had signed a confidentiality agreement, so it is very likely that “Greene's Jewelry Wholesale”.
2. A facts and Laws
1. The notification received by Lawson from Lisa Peele (HoHR) effectively meant that because of her pregnancy her condition did not allow her to be as efficient as she was, so she was indirectly asked to leave. However, as per the exact words of Peele, the company has a legal locus standii in terms of Lawson’s firing because the reason cited by her in the notification was that the firm is downsizing and no longer needs any of the junior executive secretaries. As far as unlawful termination is concerned, Jennifer confided with Howells with regards to the process used to create Ever-Gold and shared the knowledge, so it comes out that her termination was within the confines of legal means (FITZPATRICK, 1988). It may be argued from the perspective of employment discrimination that Lawson’s pregnancy should have been taken into consideration and she should not have asked to leave.
2. As stated earlier, Jennifer herself breached the law of confidentiality by passing information to the business rival and competitor of Greene’s, Howells as to what constitutes the process of making Ever-Gold. Therefore, as per the law, such act on the part of any employee attracts certain legal troubles. These are - a) Termination: it is the obvious result of breach of confidentiality and Greene’s is well within its legal rights to sue her, b) Lawsuit Damages: after the successful trial, Greene's Jewelry Wholesale can also obtain monetary damages from Lawson because on account of release of the information, that too to its competitor, the odds are highly likely that loss of market share and revenue have been recorded, c) Criminal charges: the breach of confidentiality constitutes the charges of theft of the employer’s proprietary information or intellectual property, and this crime attracts fine as well as imprisonment, and finally, d) Reputation: it likely that the breach of confidentiality may lead to permanently tarnish the reputation of the employee as the competing rivals know each other quite well (Stallworth, 1994).
3. The operative employment and contract laws that are applicable in this case are: a) the term and period of employment, b) the terms relating to the responsibilities of the employees, c) Reasons and grounds for employee termination, d) the stated covenants that had not been completed on the part of employee (Jennifer Lawson) and because of that her employment opportunity was limited leading Greene’s to sue her and most importantly e) the nondisclosure agreements relating to my company’s trade secrets in view of its competitors.
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B. Precedent
1. The cases that support my company’s position with regards to employment discrimination or unlawful termination are many such as infringement of intellectual property rights and breach of confidentiality. One of them is the case of Amazon’s one click patent. In this case, a patent infringement lawsuit was filed against Barnes & Noble in 1999. This case was also related to infringement of intellectual property rights in which Barnes & Noble finally offered a checkout option because Amazon won the lawsuit. Secondly, in 2008 the famous toy company Mattel sued MGA for the concept and the name of Bratz doll from them and it finally declared winner. Again this case is related to the infringement of patent just like the case of Greene’s. So, the company is likely to win in this aspect of the case.
2. There are a number of cases that also support my company’s position in terms of contract disputes. A famous case in which the software giant Microsoft filed a lawsuit against electronics giant Samsung in the backdrop of its Nokia purchase stating that it didn’t breach the company’s contract with the Samsung. The contract was such that the Korean giant Samsung had to pay Redmond a royalty for each Android phone and tablet it manufactures. As a result, Microsoft notes that its case is very strong and its lawsuit will be successful (Cuniberti, n.d.).
C. Facts to be Determined
1. In order to proceed with the case of Greene's Jewelry Wholesale suing Jennifer Lawson, there are a certain set of questions that are definitely needed to be answered such as what about the cases when employees are not in a position to deliver that much towards the growth of the company, even if they are quite capable to do that as per their performances, such as pregnancy etc. Secondly, for the sake of being devil’s advocate, how strong will be Jennifer’s case when, even on the grounds of unlawful termination, she releases all the secrets regarding making of Ever-Gold and after that she counter-sues Greene’s.
2. The above mentioned identified findings are very important as far as the facts of the matter of this case are concerned. It is crucial on the part of the company’s legal team to address the issue regarding termination of the Jennifer Lawson during her pregnancy, because she had once been a brilliant and efficient employee. As per the merits of the second fact, Greene’s legal team will have a clear idea as to how far can her argument be dragged and what are the odds that it is going to win and recover the damages if needed be (Farnsworth, 1968).
D. Application of the Law to the Facts
As per the case law, regulations and substantive law on the basis of the different facts and findings with regards to this case, Greene’s has a strong locus standii. If we were to discuss the strength of the arguments of the company in the court of law, then it is clear that right from the notification of the termination of Jennifer Lawson (legal or unlawful), the technicality was used to justify it. There was no direct mention of her name as it was written that the company is downsizing due the reasons best known to its interests, and so the junior executive secretaries are not needed anymore. Then, there was a clear breach of confidentiality on the part of Jennifer, due to which a lawsuit was filed against her. However, there are a few weaknesses that could also be seen. These are: the explanation of termination during pregnancy. Secondly, the company Howells apparently modified the process of making synthetic gold in order to avoid an infringement issues.
References
Cuniberti, G. Beyond Contract - The Case for Default Arbitration in International Commercial Disputes. SSRN Electronic Journal. http://dx.doi.org/10.2139/ssrn.1348448
Farnsworth, E. (1968). Disputes over Omission in Contracts. Columbia Law Review, 68(5), 860. http://dx.doi.org/10.2307/1121035
FITZPATRICK, B. (1988). DISCRIMINATION IN EMPLOYMENT. Industrial Law Journal, 17(1), 125-127. http://dx.doi.org/10.1093/ilj/17.1.125
Stallworth, L. (1994). Book Review: Labor and Employment Law: Justice in Dismissal--The Law of Termination of Employment. ILR Review, 47(4), 711-711. http://dx.doi.org/10.1177/001979399404700416