Ad Busters

Several employees of an ad agency left the company to set up a competing firm.The original company had a sense that the ex-employees may have been attempting to set up the new company while still employed at their old company.

A forensic examination of the computers the ex-employees had used resulted in information being located that the ex-employees had indeed set up their new business while working at the old company.

Specifically, it was discovered that the ex-employees had established their Internet domain name, Internet Service Provider, and the purchase of the necessary computer equipment to start the new business. With this information, the old company initiated litigation against the new company.

No Idea

The Chief Financial Officer of a manufacturing company was terminated and initiated civil litigation for improper termination. A forensic examination of the ex-employees laptop and desktop computers revealed that the ex-employee spent a vast majority of his working time viewing Internet pornography web sites. This information proved beneficial in convincing the ex-employee he should drop his civil litigation.

Despite this, the principal had however remained the same and was confirmed to be the person with whom our client had been dealing. When a comprehensive asset trace was conducted on this individual it was discovered that the principal did not own his residence, but rented in Germany and had been doing so for the better part of two decades. There were no bank accounts listed for the subject or his wife in Germany and the bank account listed for his company was virtually empty. The subject and his business had clearly prepared for this eventuality, and on paper at least were essentially without substance.

Whilst there were further options to consider, our client took a careful look at the whole picture and decided that the time and costs involved in pursuing the case were not worth it for the loss incurred and the probable returns. The clients wisely chose to cut their losses and move on.

A man of the cloth

A senior sales executive at a textile company left his position so that he could ‘retire’. At the time of his departure, he had a company owned laptop computer in his possession. Several weeks after he left the company, he returned the laptop. Shortly after that he showed up working for a competitor in their sales department. The original company sued the former employee for breach of contract and violations of his non-compete agreement. Forensic examination of the company-owned computer uncovered his continued access to several of the original company’s network servers. This information caused the ex-employee and his new company to settle the lawsuit with his original employer.

Blue Days

A senior executive in the travel industry resigned his position and then several weeks later turned up at a competitor in the same position he had held with the previous company. The original company sued the ex-employee and his new company. In a deposition, the ex-employee stated at the time of his departure from his original company he did not know he was going to work at the new company and he had nothing to do with two other employees of the old company leaving and going to work with the new company.
A computer forensic examination was made of the computer he had been issued by the original company. The examination discovered an Internet based e-mail from the ex-employee to his new employer, sent prior to his departure from the original company, in which he stated the date he would start work and naming the two other ex-employees as the first two employees he would try to encourage to come to the new company. This information forced a settlement in the litigation.