Posted on 10/12/2017 4:55:30 PM PDT by doug from upland
Harvey Weinstein may have been fired illegally by The Weinstein Company, a company that wrote a contract that said Weinstein could get sued over and over for sexual harassment and as long as he shelled out money, that was good enough for the Company.
TMZ is privy to Weinstein's 2015 employment contract, which says if he gets sued for sexual harassment or any other "misconduct" that results in a settlement or judgment against TWC, all Weinstein has to do is pay what the company's out, along with a fine, and he's in the clear.
According to the contract, if Weinstein "treated someone improperly in violation of the company's Code of Conduct," he must reimburse TWC for settlements or judgments. Additionally, "You [Weinstein] will pay the company liquidated damages of $250,000 for the first such instance, $500,000 for the second such instance, $750,000 for the third such instance, and $1,000,000 for each additional instance."
The contract says as long as Weinstein pays, it constitutes a "cure" for the misconduct and no further action can be taken. Translation -- Weinstein could be sued over and over and as long as he wrote a check, he keeps his job.
The contract has specific language as to when the Board of Directors can fire Weinstein -- if he's indicted or convicted of a crime, but that doesn't apply here. There's another provision ... he can be fired for "the perpetuation by you [Weinstein] of a material fraud against the company." The question ... where's the fraud? Lance Maerov, the board member who negotiated Weinstein's 2015 contract, said in an interview -- and we've confirmed -- the Board knew Weinstein had settled prior lawsuits brought by various women, but they "assumed" it was to cover up consensual affairs. The Board's assumption does not constitute fraud on Weinstein's part.
And here's the kicker. Even if Weinstein had committed fraud by not fully informing the Board of Directors, the contract says before he can be fired he has a right to mediation and if that doesn't work, he's entitled to arbitration. He got neither. He was summarily fired, and sources connected with Weinstein tell TMZ he was never given a specific reason.
A source connected with TWC tells TMZ, the company had a right to fire Weinstein if he didn't notify the Board of Directors of settlements. We're told there have been no settlements since the contract was signed, so it would seem this clause does not apply.
More popcorn.
Problem is HW - according to the NYer - used TWC employees to set up the women for the assaults. Big lawsuit coming.
Since when did the Left worry about the rule of law?
My guess is Weinstein knows this, and knows it is a possible way back in.
But he cannot predict how many settlements there may be between now and then.
IIRC, Bubba had insurance which covered sexual misconduct which covered the Paula Jones?? Settlement.
Problems is the company knew of Harvey’s assaults....ergo they are material witnesses.
“Call your lawyers, guys.”
We’re told there have been no settlements since the contract was signed, so it would seem this clause does not apply.
Somebody obviously cut off his viagra supply.
Some kids want grow up to be Han Solo, or Luke Skywalker, or Darth Vader. Some far-sighted kids want to be the Emperor. But one young man made it a goal to be Jarvey the Hutt!
I’m going to go out on a limb and predict HW won’t fight this in court. He’s a narcissistic power-hungry bastard so he might, but I still think the optics look too bad.
The entire board of directors should resign.
Bigger problems for Weinstein:
1. Forced oral sex in NY can be prosecuted. Victim has to be willing to pursue it, of course.
2. London investigating him. Apparently he brought in women for other countries and (allegedly) sexually assaulted them there as well. That might involve others as it could be human trafficking.
Other U.S. federal charges:
Tax fraud. Writing off the payola to the women as a business expense. Paying people to track down women for him to molest as a business expense.
Stock fraud. Not disclosing the obvious liabilities to the company to the SEC or investors.
Dozens of other women out there waiting to come forward or lawyer up.
Why would he have an employment contract with his own company? What percentage of the company did he own? Without him, wouldn’t the company be worth significsntly less?
Where are the criminal complaints against this roach?
Has anyone blamed the Russians yet?
Authorities are seriously looking at the possibility.
All the celebs condemning Weinstein said nothing year after year.
They all support the Clintons. Bill Clinton the rapist and his wife are involved in murder and treason and starting wars.
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