Is Specialized a Bully?
#51
Financially, I doubt Volagi has pulled in what Speciallized has spent thus far. This isn't about getting back financial losses. This is about crushing them before they get off the ground and sending a message to their employees about what happens if you leave Specialized and try to stay in the industry. They don't even really think that a firm that has only sold <200 bikes thus far can compete with them. If Volagi survives this, great press/exposure for them though.
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#52
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From: Pasadena, CA(for now)
So, am I to understand that if another bike company uses: red, white, &black on their bikes, Specialized will "sue" them? Patent or not, those are pretty universal colors, ANYONE can use, or am I missing something?
#53
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From: Burnaby, BC
In every manufacturer of which I am aware, EVERY employee signs this deal. In our company, it doesn't matter who you are -- welder, accountant, janitor, engineer, salesman, painter -- everybody. That's just normal operating procedure for companies. The only assumption I'm making is that Specialized uses an arrangement that 90%+ of manufacturing companies use.
Because the bike was invented during their time at Specialized...
#54
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Joined: Dec 2010
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Yes, but whether they signed one, whether whatever they did sign is enforceable under California law, whether they breached the actual terms of whatever they signed, or whether they violated some statute in California is what we don't know and don't know even half of the facts necessary to form an even partially educated opinion about.
Just from glancing at the court's docket they started a 2 week jury trial on 1/3/2012, Specialized filed close to 200 pleadings, motions, responses, etc since the case was filed in October 2010, and Volagi filed over 150 motions and pleadings. Specialized has spent over a $1,000,000 just in attorney fees and Volagi has spent over $300,000 in attorney fees (I assume that includes the fees for representing the individual defendants as well since they are all represented by the same firm).
Unless someone is watching the trial (Superior Court of California, Santa Cruz) and/or has access to the all the pleadings and discovery in the case, any conclusions about the actual merits of the case are not likely to have much merit.
Just from glancing at the court's docket they started a 2 week jury trial on 1/3/2012, Specialized filed close to 200 pleadings, motions, responses, etc since the case was filed in October 2010, and Volagi filed over 150 motions and pleadings. Specialized has spent over a $1,000,000 just in attorney fees and Volagi has spent over $300,000 in attorney fees (I assume that includes the fees for representing the individual defendants as well since they are all represented by the same firm).
Unless someone is watching the trial (Superior Court of California, Santa Cruz) and/or has access to the all the pleadings and discovery in the case, any conclusions about the actual merits of the case are not likely to have much merit.
To assume Specialized is just being a bully to a little competitor is just as erroneous as assuming they are perfectly justified in bringing suit. Either is an assumption, so jumping to "Boycott Specialized because they're big bullies!!" is completely unjustified. Many seem to be jumping straight to "Boycott Specialized", when Specialized really could be in the right. We shall see.
https://velonews.competitor.com/2012/...ad-bike_201808
It's a bike invention and they worked for a bike company. If Specialized followed the nearly-global standard of requiring employees to assign invention rights to Specialized, then Specialized is more than justified in requesting a royalty from every bike sold. Maybe such contracts were not required, but if they were, then Specialized could have a really good case and isn't just being a bully for the sake of being a bully.
Last edited by pbd; 01-06-12 at 04:06 PM.
#58
I wonder at what stage it becomes a design that Specialized would own. Is that what this is really about? If the one guy said, "hmm, I wonder if having longer seatstays not attached to the seatpost would give a better ride" to the other guy, but they didn't actually get around to planning it out and designing it until they were gone, does Spesh still own it, or is it just that they only would have owned it if they'd designed the whole thing while still working at Specialized? I'm all for innovation, but if all this Mr. Volagi stuff was going on and the bike was designed while still at Spesh, they're going to get hammered. If their facebook posting is true instead, it's still a bit iffy because there's a lot there about how they only designed it after putting in their notice. No word that they designed it after leaving the company.
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#59
Of course it's not reasonable to jump to the conclusion that Specialized will or should win. But it is perfectly reasonable to assume that Specialized *could* require such contracts though (since most companies do), and therefore perfectly reasonable to guess that this lawsuit *could* have a legal basis. But it is also perfectly reasonable to guess that Specialized *could* be playing the bully here.
To assume Specialized is just being a bully to a little competitor is just as erroneous as assuming they are perfectly justified in bringing suit. Either is an assumption, so jumping to "Boycott Specialized because they're big bullies!!" is completely unjustified. Many seem to be jumping straight to "Boycott Specialized", when Specialized really could be in the right. We shall see.
"According to Choi, the genesis of the Liscio concept came while both were working for Specialized but the two didn’t use any of the company’s trade secrets in its development."
https://velonews.competitor.com/2012/...ad-bike_201808
It's a bike invention and they worked for a bike company. If Specialized followed the nearly-global standard of requiring employees to assign invention rights to Specialized, then Specialized is more than justified in requesting a royalty from every bike sold. Maybe such contracts were not required, but if they were, then Specialized has a really good case and isn't just being a bully for the sake of being a bully.
To assume Specialized is just being a bully to a little competitor is just as erroneous as assuming they are perfectly justified in bringing suit. Either is an assumption, so jumping to "Boycott Specialized because they're big bullies!!" is completely unjustified. Many seem to be jumping straight to "Boycott Specialized", when Specialized really could be in the right. We shall see.
"According to Choi, the genesis of the Liscio concept came while both were working for Specialized but the two didn’t use any of the company’s trade secrets in its development."
https://velonews.competitor.com/2012/...ad-bike_201808
It's a bike invention and they worked for a bike company. If Specialized followed the nearly-global standard of requiring employees to assign invention rights to Specialized, then Specialized is more than justified in requesting a royalty from every bike sold. Maybe such contracts were not required, but if they were, then Specialized has a really good case and isn't just being a bully for the sake of being a bully.
#60
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Unbelievable, 3 pages in 3 hours.
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#61
except most of us have signed IP rights documents (in addition to or instead of noncompetes) that say any idea we have while in their employ no matter the time of day or where we are when we have this idea belongs to them. BS, but I've had to sign 3 of them at my last 3 jobs to get the job. A lot of people get them confused with a noncompete, but they're a different beast altogether. In my job it didn't even say "related to my work" that a lot of people's IP agreements say.
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#62
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From: Boone, North Carolina
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with the black and red, I guess they'll be sueing Michael Jordan next....
#63
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In a perfect world I agree with you... which of course never existed.
#64
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Joined: Jun 2008
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From: Vancouver, BC
Their new bike looks an awful lot like a specialized bike. If they didn't take anything from Specialized why design a bike that looks incredibly similar to your previous employer's bikes? Looks like they were asking for trouble.
#65
Reasonably Slow...
Joined: Nov 2010
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From: Middle of Oklahoma
Non-compete means you can't compete. If they signed one and they are trying to sell bikes within the term of their non-compete, they are in violation of it...
#66
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From: Boone, North Carolina
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..... and they said Specialized has spend a Million and a Half Dollars on legal fees "so far" ....... WTF!!!
Do you know how many bikes I could buy with a client like that!!!! Crap, I'd only need one client, and several S-Works in different colors in addition with my fees.
Do you know how many bikes I could buy with a client like that!!!! Crap, I'd only need one client, and several S-Works in different colors in addition with my fees.
#68
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From: Boone, North Carolina
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in other words, it can't say "you cant ever sell bikes in the USA". But it may say "you can't sell bikes in Texas for 2 years", or something like that.
#69
not necessairly. the non-compete clause has to be "reasonable as to time and geographical location", meaning the restriction on length of time, and it must specify a geographical area that they cannot compete in. That too must be reasonable. Lots more technical aspects of the enforcement of non-competes, but those are some basics.
in other words, it can't say "you cant ever sell bikes in the USA". But it may say "you can't sell bikes in Texas for 2 years", or something like that.
in other words, it can't say "you cant ever sell bikes in the USA". But it may say "you can't sell bikes in Texas for 2 years", or something like that.
#70
except most of us have signed IP rights documents (in addition to or instead of noncompetes) that say any idea we have while in their employ no matter the time of day or where we are when we have this idea belongs to them. BS, but I've had to sign 3 of them at my last 3 jobs to get the job. A lot of people get them confused with a noncompete, but they're a different beast altogether. In my job it didn't even say "related to my work" that a lot of people's IP agreements say.
#72
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#73
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Anyway, there is a posting in Volagi's Facebook page about one evil-doing they did... and according to them, it has been reversed.
#74







