San Diego, CA (PRWEB) March 21, 2011
The Shareholders Foundation announces that an investor in Eaton Corporation (ETN) shares filed a lawsuit in the Court of Common Pleas, Ohio against certain directors and officers of Eaton Corp. alleging breaches of fiduciary duties.
Current investors in Eaton Corporation (ETN) should contact the Shareholders Foundation by filling in this form, e-mail at mail(at)shareholdersfoundation(dot)com or call +1 (858) 779-1554.
The plaintiff, according to court documents, alleges that the defendants' conduct has resulted in Eaton Corp. having to unnecessarily forfeit the recovery of corporate assets due to sanctions related to another lawsuit previousy initiated as a result of an alleged theft of trade secrets estimated to have a value to the company of up to $1billion.
The plaintiff, according to court documents, claims that in 2002 six employees left Eaton Corp to join competitor Frisby Aerospace and without authorization these employees wrongfully took thousands of pages containing trade secrets and proprietary information relating to products developed by Eaton Corp.
According to the complaint CV-11748467, in 2004 Eaton Corp. filed a lawsuit against Frisby Aerospace and those former Eaton Corp. employees alleging theft and conspiracy. Eaton Corporation received between 2004 and 2006 a series of unfavorable rulings from the judge presiding over this trade secret litigation. In 2006 Eaton Corp. retained an attorney to work on behalf of the company. As it turned out, so the plaintiff, this attorney did not enter an appearance in the litigation and his involvement was kept secret from Frisby Aerospace and its counsel. Nevertheless, so the plaintiff, this attorney became involved on behalf of Eaton Corp and the judge's rulings turned in favor of Eaton Corp.
By 2008 according to court documents, so the plaintiff, it was publicly reported that an investigation into the relationship between this attorney and judge was being widened to encompass possible improprieties in the lawsuit by Eaton Corp against Frisby Aerospace. The judge eventually recused himself from that litigation. A new judge was assigned, who determined and ruled that Eaton Corp had retained the attorney to improperly influence the former presiding judge.
The plaintiff, according to court documents, alleges that certain officers participated in the attorney's improper contracts with the former presiding judge and certain directors either consciously knew of the certain officers' improper involvement of the attorney and failed to stop it, or they knowingly abdicated their fiduciary duties.
Shareholders Foundation, Inc. is a professional portfolio monitoring service and an investor advocacy group which does research related to shareholder issues, and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
A copy of the complaint CV-11748467 is available here.
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