Q: Lawsuit under DTSA and CUTSA. plantiff attorney says even after default judgement a settlement can be done.
A multi-billion dollar orgnization filed a lawsuit against a small company. The lawsuit was filed under California Uniform Trade Secrets Act (CUTSA) and Defend Trade Secrets Act (DTSA) . Even though the whole issue happened in India. Since defendant company is very small orgnaization. They could not defend themselves and now the default judgement is about to be passed against them.
In the mean time Defendant's Indian attorney reached out to plantiffs attorney and now plantiff's attorney says, that they would take the default but even after that do the settlement.
The plaintiff’s attorney has indicated that a settlement can still be reached after the default judgment. However, what would happen to the default court order if a settlement is reached?
How the defendant is supposed to comply with the court orders if they have no representation? The plaintiff is asking to not only pay damages but also to give names how would my defendant give name of employees?
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A:
In a situation where a default judgment is passed, reaching a settlement afterward can alter the terms of the court order. If both parties agree on a settlement, the plaintiff can file a motion to set aside or vacate the default judgment based on the new agreement. This typically requires court approval, but if granted, it replaces the default judgment with the terms outlined in the settlement.
Even without legal representation, the defendant should attempt to comply with court orders by seeking guidance on the process. Communicating with the court and the plaintiff's attorney about the intention to settle can buy time and clarity on the steps required. It's crucial to understand the specific demands, such as the payment of damages or disclosure of employee information, and negotiate terms that are manageable for the defendant.
Regarding the request for employee names, if it's part of the settlement or court order, you may need to provide this information to comply. If this poses a challenge, discussing alternative solutions with the plaintiff's attorney could help find a compromise. Reaching out to legal aid organizations or seeking advice from legal professionals in your region may also provide additional support during this process.
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