International Courant
Forward of an anticipated look at Cannes Lions subsequent month, Michael Kassan has prevailed in his bid to maneuver to arbitration a lawsuit from UTA trying to block him from establishing a brand new enterprise after his messy exit from the company.
Los Angeles Superior Court docket Decide Kerry Bensinger, in an order issued on Thursday, discovered that Kassan and UTA “didn’t exempt from arbitration” a declare that the corporate filed asserting that he is barred from competing with MediaLink or from soliciting its staff and shoppers.
In a press release, UTA stated its focus is “on supporting the nice work MediaLink has at all times performed and continues to do on behalf of its shoppers, and we look ahead to unlocking new alternatives collectively.” It added, “We’ll proceed to pursue this matter by authorized channels and are assured that the info will prevail.”
On the ruling protecting the case out of open courtroom, Sanford Michelman, a lawyer for Kassan, stated that “UTA broke its personal arbitration settlement, similar to it broke” his consumer’s contract.
“Kassan waived his severance which supplies him the appropriate to compete and UTA’s try at making an attempt to break him in public with these frivolous costs has failed,” he continued.
The authorized battle erupted in March, with Kassan claiming that he resigned from UTA after being lied to about his duties and privileges and the company saying it fired him for misusing firm funds. In an arbitration motion initiated by Kassan in opposition to UTA naming chief government Jeremy Zimmer, he alleged that UTA fraudulently induced him to comply with a sale of MediaLink “solely to then stroll again the very guarantees made” concerning what he would oversee on the company and allowances for his particular bills funds. He resigned on March 6, allegedly preempting the company terminating him the subsequent day.
UTA sued, accusing Kassan of treating firm cash as a “private slush fund.” It amended its criticism shortly after to drop claims for fraud and breach of contract, electing to litigate them in arbitration, however acquired a sole declare for injunctive reduction.
The difficulty revolves round whether or not Kassan has to honor a non-compete clause. He argued that he offered “good purpose” when he exercised his proper to terminate his contract and isn’t certain by its restrictions. A day after Kassan stepped down, UTA presupposed to terminate him for “trigger.”
Agreeing with Kassan that the case doesn’t belong in open courtroom, Bensinger concluded that there is “no dispute an arbitration settlement” covers UTA’s declare.
Beneath the so-called accomplice service settlement, Kassan agreed to “undergo remaining and binding arbitration of all claims, disputes and controversies arising out of, referring to or in any method related to my employment or its termination.” One other part of the settlement notes that the arbitration settlement is “meant by the events as a whole and unique assertion of the phrases” and “supersedes and replaces all prior or contemporaneous oral or written negotiations or agreements on the topic.”
The courtroom rejected arguments from UTA that there was a carveout within the settlement for a declare of injunctive reduction.
“Because the settlement directs, Plaintiffs should arbitrate their claims in opposition to Defendants and should search injunctive reduction within the arbitral discussion board,” the order said.
UTA continues to pursue claims in arbitration, neither does Kassan.
Kassan has confirmed that he plans to attend the Cannes Lions Worldwide Pageant of Creativity, the place he might announce a brand new enterprise rivaling MediaLink.
In March, Kassan additionally sued UTA’s lawyer, Bryan Freedman, for defamation. The MediaLink founder accused Freedman of making an attempt to tarnish his repute the route of UTA in a bid to forestall staff and shoppers from following him to his subsequent enterprise.
The submitting of the lawsuit adopted UTA withdrawing some claims in opposition to Kassan after it filed a criticism in courtroom fairly than in arbitration. Kassan despatched Freedman a letter threatening sanctions if he didn’t dismiss the lawsuit.
Court docket Sends Case to Arbitration
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