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Chula Vista · 12-17-2015, 01:43 PM

My head hurts. Eyes didn't get black though.

Major breakthrough on the lawsuit front. As I've mentioned before our biggest US customer (BUC) conspired with our largest China supplier (CS) to cut us out of the middle even though we owned the product designs and had a contract with the supplier.

In order to try and evade legal action the CS created a separate new company identity (NCI). All of the paperwork for sales of product for the BUC use the NCI so that the contract seems null and void.

We're suing the BUC, the CS, and the NCI for numerous claims. The lawsuit is filed in California, where the BUC has a corporate office and where the CS/NCI ships the goods to.

About 3 months ago the NCI won a judgment to be removed from the lawsuit on the grounds that they didn't do business directly with anyone in California. The BUC has a China office that processes all of the paperwork on their behalf with the NCI. This is why the judge ruled in their favor.

This was a huge win for the CS since we can no longer seek an injunction against the NCI to stop them from selling our designs to the BUC. They even put in a claim for us to have to pay $140K in legal fees that the NCI incurred prior to them being removed from the case.

To make a long story short (I know - too late), we'd been attacking everything from the purchase and sale of goods angle. Then a light bulb went off in my head.

I gave our lawyers all of the names of the California based BUC employees that I'd dealt directly with in the past on design, agency, and QC issues. We served discovery on all of them for any email contact they've had with NCI since my company was cut out of the picture.

Eureka! Dozens and dozens of emails have started pouring in where people using NCI email addresses are going back and forth with California employees.
Our lawyers are doing cartwheels. Not only does this prove the California relationship, it also proves that NCI purposely withheld this information during the first round of discovery. Judges hate that ****.

We're 99% certain that the NCI will be re-instated back into the case (knock on wood) which would be a huge win for us and a MAJOR blow for the CS.

Did I mention that my head hurts?

12-17-2015, 01:43 PM	#35403 (permalink)
Chula Vista Toasted Poster Join Date: Oct 2014 Location: SoCal by way of Boston Posts: 11,332	My head hurts. Eyes didn't get black though. Major breakthrough on the lawsuit front. As I've mentioned before our biggest US customer (BUC) conspired with our largest China supplier (CS) to cut us out of the middle even though we owned the product designs and had a contract with the supplier. In order to try and evade legal action the CS created a separate new company identity (NCI). All of the paperwork for sales of product for the BUC use the NCI so that the contract seems null and void. We're suing the BUC, the CS, and the NCI for numerous claims. The lawsuit is filed in California, where the BUC has a corporate office and where the CS/NCI ships the goods to. About 3 months ago the NCI won a judgment to be removed from the lawsuit on the grounds that they didn't do business directly with anyone in California. The BUC has a China office that processes all of the paperwork on their behalf with the NCI. This is why the judge ruled in their favor. This was a huge win for the CS since we can no longer seek an injunction against the NCI to stop them from selling our designs to the BUC. They even put in a claim for us to have to pay $140K in legal fees that the NCI incurred prior to them being removed from the case. To make a long story short (I know - too late), we'd been attacking everything from the purchase and sale of goods angle. Then a light bulb went off in my head. I gave our lawyers all of the names of the California based BUC employees that I'd dealt directly with in the past on design, agency, and QC issues. We served discovery on all of them for any email contact they've had with NCI since my company was cut out of the picture. Eureka! Dozens and dozens of emails have started pouring in where people using NCI email addresses are going back and forth with California employees. Our lawyers are doing cartwheels. Not only does this prove the California relationship, it also proves that NCI purposely withheld this information during the first round of discovery. Judges hate that ****. We're 99% certain that the NCI will be re-instated back into the case (knock on wood) which would be a huge win for us and a MAJOR blow for the CS. Did I mention that my head hurts? __________________ “The fact that we live at the bottom of a deep gravity well, on the surface of a gas covered planet going around a nuclear fireball 90 million miles away and think this to be normal is obviously some indication of how skewed our perspective tends to be.”