It is extremely rare for the dealings of a private venture-backed company to erupt into public view, but that’s exactly what happened on July 5.
A week ago, word hit the press that Vivek Wadhwa, chairman and founder of Relativity Technologies, had sued his company about a variety of issues, including deferred salary, loans and interesting of more than $500,000.
After Wadhwa’s court filing was disclosed in Superior Court, it was learned that Relativity had fired Wadhwa in May 25 “for cause” and initiated its own legal proceedings on June 10 when attempts to settle the matter out of court failed.
Both sides talked freely with the press.
On Thursday, Relativity responded to Wadhwa’s suit with a 70-page filing of its own that included a wealth of financial data about the firm plus emails sent to representatives of an investor — Wachovia – by Wadhwa.
The documents discussed possible acquisition opportunities of Relativity, payments to executives, how much Wadhwa was paid as an advisor and terms offered to settle the dispute as well as plenty of harsh and bitter language.
While much of the information has been published in LTW and The News & Observer, LTW felt it would be worthwhile to go back to the principals involved — Stephen Maysonave, the chief executive officer recruited by Wadhwa to take over the company last year, and Wadhwa — to review the unfolding case. Both men responded, and LTW decided to present their answers in separate Question-and-Answer stories in LTW’s July 13 edition.
The Maysonave Q&A: www.localtechwire.com/article.cfm?u=8672
The Wadhwa Q&A: www.localtechwire.com/article.cfm?u=8671
For other LTW stories about this case, please check the following links:
Relativity Suit Highly Critical of Wadhwa; He Says Firm Is Desperate: www.localtechwire.com/article.cfm?u=8657
Legal Battle Erupts Between Vivek Wadhwa, Relativity and Its CEO: localtechwire.com/article.cfm?u=8628
Clarification for Earlier Relativity Story
A story posted on Local Tech Wire on July 9 has been updated to clarify the fact that Relativity initiated legal proceedings against Vivek Wadhwa on June 10 before Wadhwa filed his own lawsuit.