In our next class, we will study the pleadings in the litigation between Facebook and Eduardo Saverin. In the movie The Social Network, for example, Eduardo confronts his best friend and business partner Mark Zuckerberg when he finally realizes that his original 30% stake in Facebook has been diluted all the way down to “point zero three percent.” (In the most dramatic scene of the movie (pictured below), Eduardo tells Mark: “You better lawyer-up, asshole, ’cause I’m not coming back for my 30 percent, I’m coming back for everything!”) Eduardo thus threatens to sue Mark and Facebook for significant monetary damages. But what evidence will Eduardo need to prove his case, and how will he be able to obtain this evidence? To delve into these key questions, we will review the main stages of litigation, including pleadings, discovery, trial, and appeal. In addition, because litigation has become so costly, we will also consider several methods of “alternative dispute resolution” (ADR), such as mediation and arbitration.
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