The jury awarded a total verdict of $2.8 million.
Dan Wentzel, the former president and CEO of plaintiff North American Title Co., founded Liberty Title Co. as a joint venture with Land America Financial Group and Land America Alliance. Approximately 30 employees from three North American Title offices were hired by Liberty Title.
North American Title sued Liberty Title, Land America, Wentzel and three former North American Title employees who left for Liberty Title, Steve Gilliland, William Starner and John Thompson, alleging violation of the Uniform Trade Secrets Act, intentional interference with at will employment and breach of fiduciary duties.
North American Title contended that Gilliland, Thompson and Starner, former managers, shared employee salary information with Liberty Title, using it to lure North American Title employees to the new company.
The defense contended that no trade secrets were misappropriated, and denied all alleged wrongdoing.
Superior Court, Contra Costa County, California.
North American Title Co. Inc. v. Liberty Title Co., Land America Financial
Group, Land America Allegiance Co., Dan Wentzel, Steve Gilliland, William
Starner and John Thompson
No. MSC06-00187
DATE OF VERDICT/SETTLEMENT: May 27, 2008
Former Company President Lured Employees to New Venture
SUMMARY:
RESULT: Verdict-Mixed
The jury returned a defense verdict as to Land America, Wentzel and Thompson, not finding them liable on any count.
The jury found that Starner and Gilliland were liable for intentional interference with prospective economic relations and breach of fiduciary duty and found that Liberty Title was liable for intentional interference with at will employment and conspiracy to interfere with at will employment, for a total verdict of $2.8 million.
EXPERT WITNESSES:
Plaintiff: Joseph Anastasi ; Business Damage; San Francisco, CA Marc S. Margulis , M.B.A.; Business Damage; Los Angeles, CA
Defendant: Michael J. Wagner ; Damage Analysis; Palo Alto, CA
ATTORNEYS:
Plaintiff: Peter Bertrand ; Buchalter Nemer et al.; San Francisco, CA (North American Title Co. Inc.); Richard C. Darwin ; Buchalter Nemer et al. (North American Title Co. Inc.)
Defendant: Patrick C. Mullin ; Jackson Lewis LLP; San Francisco, CA (John Thompson, Liberty Title Co., Steve Gilliland, William Starner); Robert S. Niemann; Seyfarth Shaw LLP (Land America Alliance Co., Land America Financial Group); Kathleen Cahill Slaught ; Seyfarth Shaw LLP (Land America Alliance Co., Land America Financial Group); Dylan Carp ; Jackson Lewis LLP (John Thompson, Liberty Title Co., Steve Gilliland, William Starner); Charles Lincoln Post; Weintraub Genshlea Chediak Sproul (Dan Wentzel); James Kachmar ; Weintraub Genshlea Chediak Sproul; Sacramento, CA (Dan Wentzel); S. Christine Young ; Jackson Lewis LLP (John Thompson, Liberty Title Co., Steve Gilliland, William Starner)
JUDGE: David B. Flynn
RANGE AMOUNT: $2,000,000-4,999,999
STATE: California
COUNTY: Contra Costa
INJURIES: North American Title claimed damages due to lost profits, lost market share, salary and stay bonus costs and lease costs. It also sought punitive damages. North American Title asked the jury for $24 million.
