Tech Firms Settle Recruiting Suit on Eve of Trial

Major technology companies agreed yesterday to settle a class-action lawsuit in which 64,000 employees accused them of conspiring not to recruit each other's workers, suppressing compensation. Terms of the settlement involving Apple, Google, Intel, and Adobe weren't immediately released, but the case reportedly settled for about $325 million. During pretrial proceedings, emails from top executives including Steve Jobs, Sergey Brin and Eric Schmidt surfaced, showing the executives conferred on hiring plans, sometimes through intermediaries. Defendants filed motions seeking to exclude evidence that made Jobs appear as a bully, which was apparently validated in Brin's deposition. Avoiding executives appearing on the witness stand made a settlement attractive. Intel stated it was settling to avoid the risks of litigation, but denied violating any laws or obligations. Adobe elected to settle this matter in order to avoid the uncertainties, cost and distraction of litigation. Apple and Google declined comment. Employees of the companies had been seeking $3 billion in damages. Under antitrust rules, that could have been tripled to $9 billion. The settlement follows settlements reached last year with Lucasfilm, Pixar and Intuit for a combined $20 million. The civil case followed a 2010 Justice Department case on the same matter. Trial was set to begin May 27th before U.S. District Judge Lucy Koh in San Jose, Calif. The case alleged an inner circle of Silicon Valley executives communicated during a period when the interoperability of companies' products was often discussed. Emails between the executives embarrassed executives and their companies. E-discovery played a role in the deal, as Schmidt had emailed about only conferring on agreements not to recruit from other companies verbally, so as not to create a paper trail which could later be sued upon. See story here-- http://on.wsj.com/1mEOu7N

Spider-Man musical settles, avoiding the sticky web of trial

Producers of the musical “Spider-Man: Turn Off the Dark” and its former director, Julie Taymor, settled a lawsuit over copyright claims, artistic credit and profits for the most expensive show ever on Broadway. Taymor originally filed suit on copyright grounds after being fired, claiming producers made money from her ideas and script and owed her more than $1 million. The producers countersued, saying they fired her for breach of contract. U2's Bono and the Edge, and Marvel Entertainment (licensor for the Spider-Man brand), were also involved. Taymor had approval of future tours and versions of scripts that ended with the deal, freeing future transformation of the show for venues like Las Vegas. Despite confidentiality, reported sources with knowledge of the settlement said the terms included reductions in royalties due to the high operating cost, with financial concessions improving the show’s prospects for a continuing run and to recoup the $75M production. Spider-Man has become one of the top-grossing musicals on Broadway, as well as a fan favorite-- despite negative reviews. Trial was set to begin next month in Manhattan federal court. A highly publicized trial would serve no one’s interests, according to several associates of Taymor and the producers. Tours and new productions are planned and trial apparently threatened to complicate those efforts. The fate of a documentary about the creation of the musical remains unclear. See news item here- http://nyti.ms/111rQvG