By Howard Levitt and Puneet Tiwari
As this scorching summer yields its throne to the cool crisp autumn days, many turn their attention back to the courts.
While lawyers always have their sights set on the judicial courts — and sometimes the court of public opinion — this fall there is some employment law drama playing out on the hard court as well.
The Toronto Raptors terminated their contract with former coach Nick Nurse and hired Darko Rajakovic in June of this year. Fair play for an NBA team and it happens regularly. The story took an interesting turn from the hard court to a legal one when, in August, the New York Knicks filed a lawsuit against the Raptors alleging that the team had engaged a mole on the Knicks staff to share “secret, proprietary information.” That employee, it is suggested, later left the Knicks and joined the Raptors’ coaching staff. The Knicks are seeking damages as well as an injunction.
It is rare to see two professional sports teams battle it out in the courts. However, these types of allegations are quite common in Ontario when an employer hires a new executive or poaches an employee. Employers often fear employees will take customer lists to their new employer, reveal pricing and market strategy, or reveal confidential trade secrets — costing them money and damaging their competitive situation.
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