Agreements with Strippers (never work out)

Today I saw on Bloomberg the lawsuit and countersuit ex-Sequoia partner sued by his former “stipper.” Before I get too far ahead of myself, here is the Complaint and the Countersuit A-0001316509-1.  Did you enjoy the read? Horrific right? What surprised you most?

What is great about these documents is that neither of them holds anything back. They are lewd, lascivious and raw. Exactly the kind of stuff you would not want public.  But the real shocker is that the ex-Sequoia partner actually agreed in writing to pay the woman, $40,000,000, had paid her the first $10,000,000 and she brought the law suit “simply” on breach of contract grounds to enforce the deal.

How does this relate to normal civil discourse you ask?

Well, it may not. Few of us bring any of these facts to the table. For better or for worse.

Couple of take aways:

 

  1. The guy really tried to make good on a bad decision. He clearly had the money and liked the woman, since he continued to see her, and thought he’d just throw money at it and make it go away. Lesson: Be prepared to pay for your decisions, always.  There is no free lunch.
  2. She was in it for the money.  It was her job and she was paid handsomely.  Lesson: Know what the otherside’s motivation is, always.  When it changes, be aware of the change.
  3. Is the agreement enforceable? Probably and more importantly, both of them have the funds to litigate the case to throw the question to a jury.  Lesson: Agreements are worth nothing until you seek to enforce them.  If you are not willing to enforce them or worry that the other side will not fulfill their promise, then don’t get into an agreement with them.
  4. Will it go to trial? Probably not. Most cases settle.  Lesson: Litigation generally only benefits the lawyers.  If you can resolve things yourselves, it will be less public, less costly and you will probably be able to sleep better sooner.  Otherwise, be prepared to fight for the long haul.