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TNA Suing WWE

Chris

Dreams are Endless
Maybe they should just break out the steel cage.

The natural business rivalry between Nashville-based Total Nonstop Action Entertainment Inc. and World Wrestling Entertainment Inc. has spilled over to the courtroom.

TNA filed an injunction request Wednesday in Davidson County Chancery Court, claiming that a former TNA employee provided WWE with confidential information and trade secrets.

Just days after TNA learned about the breach, well-known TNA wrestler Ric Flair attempted to back out of his contract, according to the suit.

The filing claims that Brian Wittenstein, who worked for TNA as a live events and talents relations coordinator from 2008 until August 2011, took confidential wrestler contract information when he went to work for WWE earlier this year.

According to the suit, WWE is now using that information to poach wrestlers from TNA.

“This wrongful disclosure and misappropriation allows WWE to effectively price TNA out of the market and cause irreparable harm to TNA’s business and profitability,” the lawsuit reads. “WWE now knows the confidential details of TNA’s business affairs including its marketing and business strategy and analysis, which leaves TNA vulnerable to WWE’s unfair position in the market.”

A WWE official notified TNA on May 7 about Wittenstein’s breach, but the lawsuit claims WWE waited three weeks before telling TNA. WWE fired Wittenstein after they learned what he did, according to the lawsuit.

Two days later, Flair attempted to terminate his TNA contract. He also failed to show up for TNA events from May 10-15, including a pay-per-view show. TNA now believes that Flair may be headed for WWE, the timing of which, it claims, is “suspect.”

“In order to injure TNA and gain a competitive advantage, WWE intentionally interfered with TNA’s contractual relationship with Ric Flair and maliciously used the trade secrets and confidential information provided by Wittenstein to approach Ric Flair,” the lawsuit reads.

Jerry McDevitt, who has represented the WWE in legal cases for 25 years, said the lawsuit took them by surprise.

“Our reaction is that no good deed ever goes unpunished,” he said. “What the WWE did here is what you would hope any company would do in these circumstances it found itself in.”

Chancellor Ellen Hobbs Lyle signed a temporary restraining order Thursday, requiring WWE and Wittenstein return, and not destroy, the confidential information. WWE and Wittenstein must abide by the order until an injunction hearing set for June 11.

Overall, TNA is suing for interference with existing contracts (against WWE), breach of duty of loyalty (against Wittenstein), conversion, breach of contract, civil conspiracy, unfair competition and violation of the Tennessee Uniform Trade Secrets Act.

TNA, whose headquarters are located in Cummins Station, has increased in global popularity over the past several years.

The much larger WWE, founded in 1952, is based in Stamford, Conn., and made $123 million in revenue during the first quarter of 2012.

Not sure if I should have posted this here or in the TNA section, but oh well. Did not see this coming.
 

John McHenry

John McHenry
Either would have been fine WWE probably gets a bit more traffic.


I'd say WWE will come out on top in this one. Even if they'd been using the info they seem to have no way of proving it. WWE did disclose what had happened and TNA still doesn't seem to be able to prove the three week period thing.

I don't see that TNA seems to have much of a argument from the way the article is written. However, it's still very early on in this.
 

We Are Legion

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The only way TNA could prove Wittenstein was in breach is if Wittensteim was stupid enough to testify against himself. WWE may have fired him, but no way they're going to throw him under the bus in court completely since it would hurt their own defense.

TNA likely won't get a dime, but I can see why it would piss them off enough to sue. WWE sued WCW for the exact same thing several times in the 90's and never won either.
 

Cwalker

Well-Known Member
This may not be a big deal, but I feel like if it were the other way around, TNA would be getting slammed right now.
 

Chris

Dreams are Endless
Maybe, but not by me at least. If TNA did this and got a few WWE guys doing it, even though it's illegal, I'd probably applaud them for it.
 

The Prince

New Member
in all seriousness this is a serious offence no matter if WWE will win the case or not , thats like saying that chris brown used neyo's lyrics but neyo wont win anything regardless of the suit claimed there is irefutable damage done to TNA in the long run because now they have to change there whole scheme and approach to make sure someone doesnt leak information to the main competition.
 

John McHenry

John McHenry
in all seriousness this is a serious offence no matter if WWE will win the case or not , thats like saying that chris brown used neyo's lyrics but neyo wont win anything regardless of the suit claimed there is irefutable damage done to TNA in the long run because now they have to change there whole scheme and approach to make sure someone doesnt leak information to the main competition.

No it's like saying it's not provable from TNA standpoint so there isn't proof that WWE did anything wrong.
 
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