Now, I don't know much about this, but the little I thought I knew was:
1) These were key people from Microsoft's XML -> .NET initiatives.
2) Crossgain is building their own XML -> .NETish solution.
So, if these statements are accurate, Microsoft would have a very good
reason to enforce a non-compete, and it can be applied narrowly (doesn't
keep these people from working for non-XML->.NETish companies).
So, *assuming* non-competes in general are acceptable (I know, I know),
what part of this case am I not understanding? Or was it okay for
Microsoft to hire those compiler experts from Borland all those years ago,
etc.? (I seem to recall there were noncompetes there, too.)
On Tue, 16 Jan 2001, Gordon Mohr wrote:
> Does Washington state look more kindly upon non-compete clauses than
> Seems like there must be more to this story, to explain Crossgain's
> capitulation. Something along the lines of (though I don't know any
> of these to be true):
> (1) Washington state's more pro-employer laws in this matter.
> (2) MSFT's especially clever employment/confidentiality contracts.
> (3) Some other pull, in another matter, MSFT has over the company
> or its backers. (Is MSFT bailing out one of their other
> investments? Or does MSFT have 'smoking gun' evidence that
> MSFT documents were taken to the company?)
> (4) Other problems at the company, which made them willing to take
> such a revectoring hit.
> - Gordon
> ----- Original Message -----
> From: "Rohit Khare" <Rohit@KnowNow.com>
> To: <FoRK@xent.com>
> Sent: Tuesday, January 16, 2001 1:17 AM
> Subject: Fwd: Crossgain Fires a Quarter of Its Employees
> > This is really sad and pathetic on MSFT's part, and an embarrassment
> > for all concerned, including Benchmark. This is practically
> > Justice-worthy, but probably not in a Bush administration... My best
> > wishes to all who were involved, and that they may compete again --
> > with all of us! -- on a level playing field... Rohit
> > > http://interactive.wsj.com/articles/SB979612543677285500.htm
> > >January 16, 2001
> > >
> > >Crossgain Fires a Quarter of Its Employees,
> > >As It Faces Legal Pressure From Microsoft
> > >By REBECCA BUCKMAN
> > >Staff Reporter of THE WALL STREET JOURNAL
> > >
> > >
> > >Crossgain Corp., a high-profile Web start-up facing pressure from
> > >Microsoft Corp., abruptly fired about a quarter of its employees in an
> > >attempt to cool tensions with the giant software company, people
> > >familiar with the matter said.
This archive was generated by hypermail 2b29 : Fri Apr 27 2001 - 23:18:45 PDT