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  • Former Playdom Employee Sentenced To Jail Time In Zynga Lawsuit

    Michael Arrington

    J. Michael Arrington (born March 13, 1970 in Huntington Beach, California) is a serial entrepreneur and the founder of TechCrunch, a blog covering startups and technology news. Arrington attended Claremont McKenna College (BA Economics, 1992) and Stanford Law School (JD, 1995) and practiced as a corporate and securities lawyer at two law firms: O’Melveny & Myers and Wilson Sonsini Goodrich... → Learn More

    Friday, August 27th, 2010

    Last fall Zynga sued rival gaming developer Playdom (recently acquired by Disney) for an array of issues including misappropriation of trade secrets, breach of contract, and breach of the duty of loyalty.

    In short Zynga accused Playdom of stealing its confidential ‘Zynga Playbook‘.

    The case continues, but the drama has reached its peak. The court today held one former Zynga and Playdom employee, Raymond Holmes, in contempt and sentenced him to ten days in county jail and a $4,000 fine. Fortunately for Holmes, Judge Mark Pierce then suspended the sentence. That means Holmes won’t do the time unless he continues to, well, piss off Judge Pierce. The full order is embedded below.

    What did Holmes do? Lots of things apparently: destruction of evidence on laptop, destruction of Mozy backup, failure to identify other storage devices with Zynga documents and the signing of two false court certificates. The court says Holmes admitted to his improper actions and apologized.

    Worse still for Playdom is the last sentence of the court document. It says it’s “appropriate to impose a non rebutable evidentiary presumption in favor of Zynga regarding the meta data lost when Def Holmes erased his hard drive.”

    Reggie Davis, General Counsel, Zynga says: “We are pleased that the Court treated destruction of stolen Zynga materials by a then-current Playdom employee, and violations of two court orders, with the seriousness they deserve.”

    Earlier this year a court in Santa Clara dissolved the initial restraining order against Playdom issued a new preliminary injunction against Playdom finding that Zynga likely to prevail at trial on their trade secret theft claims, and (supposedly) stopping the release of several games scheduled to be released by Playdom.

    Person: Raymond Holmes
    Companies: PlayFirst, Zynga, Playdom

    Producer/Designer with over a decade of game development experience. Comfortable speaking the language of programmers, designers and artists. Skilled at managing creative professionals and driving the creative process. Via LinkedIn

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    Company: Zynga
    Website: zynga.com
    Launch Date: July 2007
    IPO: NASDAQ:ZNGA

    Zynga was founded in July 2007 by Mark Pincus and is named for his late American Bulldog, Zinga. Loyal and spirited, Zinga’s name is a nod to a legendary African warrior queen. The early supporting founding team included Eric Schiermeyer, Michael Luxton, Justin Waldron, Kyle Stewart, Scott Dale, John Doerr, Steve Schoettler, Kevin Hagan, and Andrew Trader. Zynga’s mission is connecting the world through games. Everyday millions of people interact with their friends and express their unique personalities through our...

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    Company: Playdom
    Website: playdom.com
    Launch Date: February 2008
    Funding: $76M

    Playdom is a game developer with a focus on social, online games. The company has a number of popular titles on the iPhone, Myspace, and Facebook.

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