Callaway Golf Seeks Additional Court Order Against Former Vice President
2.10.1999, 13:05
Carlsbad, Calif. (PROTEXT) - Callaway Golf Ball Company, a
wholly-owned subsidiary of Callaway Golf Company (NYSE: ELY),
took the unusual and aggressive step today in its lawsuit against
former Vice President, Sales, Mark King, of filing a Petition for
Writ of Mandate in the California Court of Appeal, Fourth
Appellate District, Division One. In the Petition, Callaway Golf
Ball requests that the Appellate Court either instruct the trial
court to order Mr. King immediately to stop any further work for
competitor Taylor Made Adidas Golf Company or, in the
alternative, expedite the resolution of Callaway Golf Ball's
appeal raising the same issue.
In an order signed on September 27, 1999, the Superior Court
in Vista, California, granted Callaway Golf Ball an injunction
restraining Mark King "and all those acting in concert with him"
from "using, disclosing, copying or transmitting any trade
secrets of Callaway Golf Ball Company regarding the design,
manufacture, sale and marketing of golf balls." However, the
Superior Court did not grant Callaway Golf Ball's request that
Mr. King be ordered to stop all further work for Taylor Made
pending the outcome of Callaway Golf Ball's arbitration
proceeding against Mr. King. Callaway Golf Ball initiated the
arbitration proceedings in August 1999 alleging that Mr. King had
violated his written employment agreement, which was to run
through the end of 2000, and that Mr. King had or would violate
the Uniform Trade Secrets Act.
On September 29, 1999, Callaway Golf Ball filed its Notice of
Appeal from that part of the Superior Court's ruling denying the
request that Mr. King be prevented from working at Taylor Made.
Because it can often take up to two years for an appeal to be
heard, Callaway Golf Ball today filed a Petition for Writ of
Mandate to seek an earlier action by the Court of Appeals.
"We are confident that our position on appeal is correct, and
that we should ultimately prevail," said Steve McCracken,
Executive Vice President and Chief Legal Officer of Callaway
Golf. "However, the normal appellate process may move too slowly
for us to get the relief we deserve in time for it to be
meaningful. For example, our new golf balls may well be on the
market before the matter could even be briefed in the Court of
Appeal. For that reason, we have sought what might be considered
emergency relief in the Court of Appeal to speed up the process.
We recognize that such Writs are seldom granted, but we strongly
feel that our case presents one of those unusual and important
situations where a Writ is appropriate."
"As we announced earlier this week, we intend to establish in
the appellate courts that the legal doctrine of 'inevitable
disclosure' - which is recognized in many jurisdictions outside
California - is the law in this state as well," Mr. McCracken
continued. "Mr. King has extensive knowledge about our business,
and is in a position where he will now be directing a significant
competitor's business in immediate and direct competition with
us. We recognize and appreciate the fact that the Superior Court
has ordered Mr. King not to disclose or use our trade secrets in
his new job. However, unless he has the unheard of ability to
compartmentalize his brain or self-induce selective memory loss,
we do not understand how he can perform his new duties without
inevitably using the information he learned from us. That is why
we think the courts should take the next step and require that
Mr. King not work for our competition."
For more information about Callaway Golf Company, please visit
the Company's website on the Internet at www.callawaygolf.com.
If you would like to receive Callaway Golf's press releases
via e-mail in the future, please send your request to:
newslist@callawaygolf.com. ots Original Text Service: Callaway
Golf Company Internet: http://www.newsaktuell.de Contact: Larry
Dorman of Callaway Golf Ball Company, 760-931-1771 Company News
On-Call: http://www.prnewswire.com/comp/124825.html or fax, 800-
758-5804, ext. 124825 Web site: http://www.callawaygolf.com
Subscribers please note that material bearing the slug
"PROTEXT" is not part of CTK's news service and is not to be
published under the "CTK" slug. Protext is a commercial service
providing distribution of press releases from clients, who are
identified in the text of Protext reports and who bear full
responsibility for their contents.
PROTEXT