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Settlement Negotiations
On Tuesday, April 23, 1996, a meeting was held at the office
of UTA’s attorneys, O’Melveny & Myers, in Los Angeles, California
(April 23 meeting). Petitioner, Mr. Ostroff, Lori Dillman
(another attorney for petitioner from Sidley Austin), Mr. Berkus,
Mr. Benedek, and Scott Dunham of O’Melveny & Myers attended the
April 23 meeting. Mr. Dunham, Healy Condon, and David Wyle
represented UTA in the April 1996 dispute with petitioner.9 The
atmosphere and the negotiations at the April 23 meeting were
hostile, adversarial, and acrimonious.
At the April 23 meeting, Mr. Ostroff summarized the elements
of the complaint. The complaint included the following
allegations:10
15. Over the course of his employment with UTA
and his service on the Management Committee, and
especially in the last six months of his employment
with UTA, Plaintiff became aware of and concerned by a
number of improper and/or illegal acts and practices
9 Although the record is somewhat unclear, it appears that
the dispute in April 1996 was not the only dispute, or
threatened/actual litigation, between petitioner and UTA.
Apparently, sometime after the settlement of the defamation and
breach of contract claims was reached, petitioner allegedly
violated the confidentiality provisions of the settlement
agreements. When Mr. Bauer was informed that petitioner was
allegedly violating the confidentiality provisions of the
settlement agreements and speaking to the Internal Revenue
Service regarding UTA’s principals, he instructed UTA’s attorneys
to initiate a lawsuit against petitioner for, among other things,
breach of the settlement agreements and misappropriation of trade
secrets.
10 The redactions noted are contained in the copy of the
complaint submitted to the Court.
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