Unbeknownst to the public, health and Wellness Company, Melaleuca, has been embroiled in a lawsuit with a former employee over allegations that the ex employee violated a separation agreement after leaving the company and recruiting key employees. Melaleuca, afraid that pertinent, private info would be released if the case went public has worked hard to keep the courtroom doors closed.
The lawsuit stems from a case filed against Jeff Wasden, Melaleuca’s former VP of Marketing. Melaleuca claims that after leaving the company, Wasden violated separation agreements by hiring other key Melaleuca employees. Wasden denies these claims and filed a counter claim against Melaleuca CEO and President Frank VanderSloot claiming breach of contract and character defamation.
In the most recent development, Melaleuca sought this week to disqualify Wasden’s lawyer, Ron Swafford claiming that he is keeping copies of tapes that were “surreptitiously” recorded by a former employee of Melaleuca and current employee of Wasden.
It’s all very confusing, but apparently earlier in the summer Melaleuca’s in house counsel interviewed an employee who later went to work for Wasden. That ex-employee without telling the lawyer, recorded that conversation and gave a tape of it to Swafford. There are also claims that that same ex-employee gave Swafford 200 pages of protected information. Melaleuca claims that requests for the return of those documents have been unanswered.
Swafford now has 20 days to respond to these claims and then Melaleuca has 10 days to respond to Swaffords submission.
Aside from this battle, there have been many other back and forth regarding proprietary information that Melaleuca refuses to share, argument over a closed or open trial, claims that the in house counsel at Melaleuca is making it impossible for Swafford to investigate his own case and accusations that Melaleuca’s counsel is not complying with requests for certain company records.
Apparently, requests for the dismissal of a lawyer are extremely rare, but it seems that this case is a pretty messy one on all fronts. Despite Melaleuca’s efforts to the trial keep hush hush, it seems that the case will not go away any time soon. All of the facts are a bit confusing, but we will keep you up to date as the case moves forward.
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