Following the settlement between the Department of Justice and seven prominent high tech companies regarding the companies’ conduct in agreeing not to cold call employees of the other companies – which the DOJ concluded was “anticompetitive” and per se unlawful – a class of software engineers filed a civil lawsuit against the same companies for alleged antitrust violations. The employers claimed that the plaintiffs could not establish facts evidencing an antitrust violation – i.e., a conspiracy to suppress wages – and moved to dismiss the claims. However, the court determined that the plaintiff alleged sufficient facts to support their claims. Thus the antitrust claims survived dismissal and the case continues.
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Multiemployer “no poaching agreements” spawn civil antitrust claims
- Fenwick & West LLP
- Michael A. Sands and Dan Ko Obuhanych
- USA
- May 11 2012
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Sonja Sarantis
Legal Counsel
State Street Bank and Trust Company