Entrepreneur/Actors/Writer/Producer Kevin L. Walker is headed back to court, this time against former employee Karina Noelle Castillo.
Public records at the Pasadena, CA courthouse show that Walker has filed a lawsuit for $10,000, stating Castillo materially breached her contract, by working for Walker for 2-3 months, stealing his company secrets and “secret sauce,” and setting up a clone business nearby.
Walker recently sued former employee Gianna Rose Ditullio, which resulted in the business closing doors and thousands being paid to Walker in damages.
Sources tell us Castillo claims her mother started the business with some unknown person, and it wasn’t her however, she coincidentally works for the company and at one point even listed herself on the company’s website as a “co-founder.”
She has since altered her website and deleted the evidence however, that doesn’t eliminate the evidence from the internet, and it doesn’t resolve the the facts that prove all of Castillo’s actions of the business, from creation, to website purchase and launch, took place within immediate proximity of Castillo’s employment at, The Creation Station Studios.
It appears very clear what the outcome will be, given California holds non-competes valid outside of the “employer-employee” context, the California court of appeals ruled. Additionally, in another case: Ixchel Pharma LLC v. Biogen, Inc., the district court ruled that section 16600 does not apply outside of the employer-employee context, and dismissed the case.
The total amount of damages, depends on a number of factors, but can easily be calcualted. In Cherne Indus., Inc. c. Ground & Associates, the plaintiff was awarded $49,322.72, when the defendant/former employee started up their own company using trade secrets and client lists, practically identical to this situation. $138,000 pursuant to a liquidated damages clause in a professional services firm (BDO Seidman v. Hirshberg); and $25,000 pursuant to a liquidated damages clause in a clinic (Raymundo v. Hammond Clinic Ass’n).