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Must employer front-end employee's attorney fees when employer sues employee?
July 26, 2006 by Ross Runkel at LawMemo
It seems improbable that an employee can require an employer to advance litigation costs in a suit by the employer against the employee.
This is exactly what might have to happen in a case in which the employer claims that the employee unlawfully deleted material from a laptop computer in violation of the federal Computer Fraud and Abuse Act.
The employment contract contained provisions requiring the employer to pay any expenses incurred in successfully defending suits "based on acts performed in connection with the company's business."
The employer sued the employee in federal court, and then the employee sued in state court seeking an order compelling the employer to advance him money for attorney fees and other expenses incurred in defending against the employer's suit.
Then the employer asked the federal court to enjoin the state suit.
No dice, says the 7th Circuit. Intl Airport Centers v. Citrin (7th Cir 07/25/2006).
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Editor: Ross Runkel, Professor of Law Emeritus. email Ross@LawMemo.Com, Phone 503-399-8028. Copyright LawMemo, Inc.
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