no-poach

Two 'no-poach' stories January 2012 - January 2013

Google Chairman Eric Schmidt ordered to give deposition in anti-poaching lawsuit

Apple CEO Tim Cook has been ordered by U.S. District Judge Lucy Koh in San Jose to give a deposition related to an ongoing private lawsuit that claims Apple, Google, and others entered “no-poach” agreements, as reported by Bloomberg. Cook isn’t the only executive named in yesterday’s order. Google Chairman Eric Schmidt will also be deposed on Feb. 20, as well as Intel Chief Executive Officer Paul Otellini later this month.

The judge said she was disappointed that senior executives at the companies involved hadn’t been deposed before yesterday’s hearing over whether she should certify the case as a group lawsuit. The class would include different categories of employees whose incomes, their lawyers argue, were artificially reduced because of the collusion. Koh didn’t rule on class certification.

At Koh’s request, the lawyers also agreed that Google Chairman Eric Schmidt will be deposed Feb. 20. Lawyers for the employees will depose Intel Chief Executive Officer Paul Otellini later this month, lawyers said.

Google, Apple, and six other companies must face lawsuit over no-poaching agreements

Late last week we told you that the U.S. Justice Department apparently had evidence that Google, along with Apple, Adobe, Intuit, Pixar, Intel, Walt Disney and Lucasfilms, entered “no-poach” agreements as part of an antitrust investigation from 2010. U.S. District Judge Lucy H Koh made a statement yesterday at the U.S. District Court in San Jose, Calif., confirming the companies must face a lawsuit. According to the report from Bloomberg, Koh said she would allow plaintiffs to re-file their complaint even if an initial request by the defendants to dismiss the claims is granted.

Judge Koh’s decision yesterday will result in Google and the other companies having to provide a detailed account of the agreements made with other companies. They must also allow lawyers to take depositions. One lawyer representing the plaintiffs, Joseph Saveri, said, “We get to see what really happened,” claiming the case could result in hundreds of millions of dollars in damages. Google provided statements to Bloomberg claiming they have “always actively and aggressively recruited top talent,” while the others have declined to comment.

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