Overview | Articles | Law Alerts | Events
< Return to Articles | Email to a Friend
 Technology Integration Group Wins $2.38 Million Jury Verdict for Itself and Three Former Employees Defamation and Business Interference Suit against Access Microsystems Business Wire December 22, 2006 SALT LAKE CITY, Utah--(BUSINESS WIRE)--Dec. 22, 2006--Technology Integration Group (TIG) announced a $2.38 million verdict in favor of TIG and three former employees in a defamation and business interference lawsuit against Access Microsystems and its owner, Paul Rajewski.
The case focused on the methods used by former MicroAge franchisee Access Microsystems and its CEO, Paul Rajewski, to persuade a large commercial customer not to send its computer sales and service contracts to TIG. Former TIG employees and co-plaintiffs in the case were two computer salesmen, Cliff Butler and Dallas Shaw, and a computer service technician, Lyle Voorheis, who had worked with the customer for a number of years. When their prior employer became insolvent, Access Microsystems hired the plaintiffs and assumed the multi-million dollar sales and service accounts. The plaintiffs quickly became dissatisfied with Access Microsystems and sought employment with TIG.
When the plaintiffs left Access Microsystems, the customer indicated a desire to follow them to TIG. Upon hearing this, Access Microsystems' owner Paul Rajewski engaged in what the jury found to be several acts of defamation against the plaintiffs, which included telling the customer that Voorheis had stolen computer equipment from the customer's office and that Butler and Shaw had stolen equipment from Access Microsystems. The jury heard testimony that Access Microsystems reported to local police that plaintiffs had stolen property. Police investigated the claims, but dropped the investigation shortly after speaking with plaintiffs. Other Access Microsystems personnel told the customer's employees that Shaw and Voorheis had bribed a key contact to secure the work for TIG.
The jury found that the accusations were unfounded, and had severely damaged the professional and personal reputations of the plaintiffs. Voorheis moved out of state to find computer service work. Shaw and Butler both showed significant lost income, with Shaw leaving the computer industry entirely and Butler selling primarily to accounts outside of Utah. Due to the turmoil caused by the accusations, TIG lost over $1.5 million in its Salt Lake office, which it then closed.
Rajewski also told the customer that TIG could not work with the customer because he had signed enforceable non-compete agreements with Butler, Shaw, and Voorheis. However, the non-compete agreements were with the plaintiffs' prior employer, Alpine Computing, which had ceased doing business. Evidence at trial showed that Rajewski failed to inform the customer that the plaintiffs had refused to sign non-compete agreements with Access.
The case, filed in 1997, resulted in an award of $2,145,176.30 for defamation damages and $235,971.2 for improper interference with a potential business relationship.
"The details of this case were difficult to digest," said Technology Integration Group CEO Bruce Geier. "We are thrilled the jury was able to grasp the facts to serve justice. It was a long road for Cliff, Dallas and Lyle."
"We are very pleased the jury addressed the damage done to our clients," said Clark Waddoups, a senior shareholder with Parr Waddoups and lead counsel to the plaintiffs. "Even though this was a long struggle, the jury's actions will help correct the great wrongs done many years ago. We have the greatest respect for our clients in sticking to their principles and pursuing this litigation. As to the conduct of the defendants, the verdict speaks volumes."
This award also serves as a warning to others who attempt to damage the professional reputations of innocent people in the name of doing business," said Jonathan O. Hafen, a Parr Waddoups shareholder and member of the litigation team. "There is nothing wrong with competing for an account, but when you cross the line, you should be held accountable. The result in this case shows that TIG did things the right way, and Access did not."
Technology Integration Group is a recognized diversity supplier of value-added computing and IT solutions. Founded and headquartered in San Diego for 25 years, TIG has 21 offices throughout the US and in Europe. For more information about TIG's products and services visit www.tig.com.
|