Have you or your company ever been subpoenaed by someone and you wonder, “wait, why am I being dragged into their mess?” It seems unfair. Why should you have to take time out of your busy day to help someone else either pursue or defend their own lawsuit? Let’s face it, most people don’t want to be involved in litigation of any kind, let alone someone else’s litigation. There’s nothing to be gained and only time and money to be lost. However, a North Carolina Business Court ruling last year made clear that non-parties to the case should not be unduly burdened with subpoena requests or required to turn over…
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The Purpose of Non-Disclosure Agreements and How They Could Fail Harvey Weinstein
What happens when you violate a non-disclosure agreement? Are there any circumstances in which is permissible to violate one without consequences? What are non-disclosure agreements even for? What does everyone have to hide? Non-disclosure agreements are a way for businesses or individuals to protect confidential information given to their employees or other parties. They can also be called “confidentiality agreements” or simply “NDAs.” At Lindley Law, all employees sign a confidentiality agreement with respect to client information. In addition to attorney-client confidentiality, it is important to the attorney-client relationship that we maintain confidentiality so as to not compromise or prejudice our clients in any way. Other companies, such…
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Five Things You Need to Know About Social Media and Discovery
Social media can have a profound impact on a lawsuit and can even make or break one’s case. Take, for example, a person who is claiming they are unable to work due to a workplace injury, but a quick perusal of their social media accounts reveals their ability to waterski simultaneous to the claim. An attorney will likely be able to use that post to make an argument in court. However, if the waterskiing employee realizes the post is problematic given his or her recent claim, they may decide to delete the photo. Deletion of tweets or Facebook posts in an effort to conceal evidence could result in dismissal of…
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Playing by the (New) Rules in the North Carolina Business Court: Part 2
The North Carolina Business Court’s new Rules went into effect January 1, 2017 and apply to every civil action designated as a mandatory complex business case or assigned to a Business Court judge, regardless of whether it was filed prior to the Rules’ effective date. They are meant to supplement, rather than supplant, the Rules of Civil Procedure and General Rules of Practice, but if there is a conflict with local rules or standing orders from the county of venue, the Business Court’s Rules will govern. Part 1 of this topic addressed the changes in Notices of Designation, filing, electronic filing technology problems, motions practice, and emergency motions. For…
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North Carolina Business Court Enforces Arbitration Agreement Prohibiting Discovery, Live Testimony, and a Full Hearing
In a January 2016 (unpublished) order, the North Carolina Business Court (NCBC) enforced a contract provision compelling arbitration and prohibiting any discovery prior to the arbitration.[1] In Taggart v. Physicians Pharmacy Alliance, Inc., James Taggart sold his business, Physicians Pharmacy Alliance, Inc. (“PPA”), in a stock purchase agreement. The agreement contains a provision mandating arbitration as to “any claim, controversy, or other matter in question based upon, arising out of, or otherwise in respect of this Agreement.” The agreement further specifies: “[i]t is the desire and intent of the Parties that such arbitration be held without any discovery,…
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On Mandating Trustees’ Duty to Inform and Report
Twenty-three years ago, Clark “CB” Bagby, Jr. assumed control of his father’s already successful demolition and grading company and grew it into one of the largest in the Southeast. Only one of his four children showed any promise or passion for the family business, the others content to enjoy its fruits. CB, the sole shareholder of the eponymously named CBDG, Inc., is acutely aware of his need for succession planning and is equally determined to make it as painless for himself as possible. “I want them to know I’ve taken care of them, but I don’t want to be pestered about what I gave them, whether it’s enough, or…