In April of 2014, a settlement for a class action lawsuit over anti-poaching agreements was pronounced for a total of $324 million. However, according to a new report from CNBC, that settlement has now been rejected by the court.
According to the new report, which CNBC published on August 8, District Court Judge Lucy Koh has effectively rejected the settlement brought to the court, between Apple, Google, Adobe and Intel. According to the report out of the courtroom, it boils down to the fact that Judge Koh believes the settlement is actually not enough money, and has cited $380 million as the appropriate amount.
“The ruling by U.S. District Judge Lucy Koh in San Jose, California, said the proposed settlement amount “falls below the range of reasonableness.“
These anti-poaching claims were brought by employees, both current and former, due to beliefs that the corporate giants had made agreements between them to not hire engineers that had worked for the competitor. Essentially, that meant that these employers could feel better about paying their employees whatever they wanted, without having to worry that a competitor could offer more money and snag them.
Eventually, exposed emails between the companies showed that these agreements were in fact in place. These companies agreed that they should pay out $324.5 million to settle, but apparently that is now up in the air with this rejection from the court.
[via CNBC]Like this post? Share it!