Righthaven Case Gets Even More Bizarre: CEO Files Statement About How Righthaven's Own Lawyer Won't Respond To Him

from the you-can't-make-this-up dept

Every time you think the Righthaven farce must be over -- or, at the very least, couldn't get any stranger -- something new pops up. The latest is that Righthaven CEO Steve Gibson (who, as we've mentioned, has already moved on to a new lawyer job, while still technically being CEO of Righthaven) has submitted a bizarre filing with the court that basically plays the "me? I've got nothing to do with any of this!" card in trying to avoid having to provide some key documents in one of the many cases where Righthaven owes attorneys' fees for its bogus lawsuits.

For a rather complete takedown of Gibson's filing and why it may create significant legal problems for Gibson later, I recommend Patrick Anderson's vicious dissection of the filing. Gibson, a lawyer now working for a big law firm, claims that he's a "non-party" in this lawsuit, despite being the CEO and key officer in the company in question. He insists that, despite being a lawyer, as the CEO he cannot act as a lawyer for the firm. However, as Anderson notes, in the early days, Gibson did exactly that and signed various filings for Righthaven:
Elsewhere in the filing, Gibson basically says that Righthaven's own lawyer, Shawn Mangano, simply refuses to respond to his contact attempts, and he actually tells the court it should compel Mangano to appear. Yes, this is the CEO of a company telling the court that it can't contact its own lawyer and that the court should step in and force that lawyer to show up:
I have attempted by way of letter, telephone and electronic mail to contact Mangano in order to receive updates on the statuses of all cases to no avail. Mangano has been entirely uncommunicative. Mangano cannot complain of non-payment, as Righthaven made all required payments, until such time as Mangano became entirely uncommunicative.

As Chief Executive Officer (“CEO”) of Righthaven, I do not have any means to effect compliance with the Minute Order but stand prepared to assist within the province of the law and not in a manner that causes me to engage in personal efforts above and beyond that which the CEO of Righthaven is capable of doing with the limited resources currently available to Righthaven, assuming I receive notice of same.

Therefore, Gibson hereby respectfully requests this Court to order Mangano to appear before the Court and effect compliance with the Minute Order. Gibson further requests this Court order Mangano to reinvigorate Mangano’s representation of Righthaven until such time as this Court would find appropriate the withdrawal by Mangano.
Anderson, however, notes a bizarre contradiction within Gibson's own filing. He notes both that Gibson states that "Righthaven has no funds" to order a copy of the transcript which the court is demanding of him... but then also notes that Mangano shouldn't fear not getting paid for working for Righthaven because "one or more of Righthaven's parents" would likely "continue to make capital contributions." In other words, Gibson appears to both plead poverty in paying for a copy the court has ordered him to get and the fact that it has access to money to pay lawyers to get that same document in the same filing. Wow.

Anderson also mocks Gibson for later "apologizing" in the filing for not having access to specific case citation page numbers, noting that while this is a minor point, earlier in the filing Gibson admits that he is employed as a lawyer at a giant law firm, and is filing this particular court filing via his CM/ECF login (Case Management/Electronic Case Files), which he has because of his employment at that law firm. Anderson cuts through the crap and points out that Gibson must be hoping the judge is a complete moron:
So “convenience” allows Gibson to use his ECF account, but apparently does not allow him to use an actual law library to read the cases cited against him and respond with accurate page numbers.
Anderson, a patent attorney who often writes about how companies can use patents to make money, worries that Righthaven and Gibson's crazy antics will come back to haunt patent trolling firms:
When Gibson eventually defends himself in an argument over whether he should be protected by the corporate veil, his opponents will make sure each little infraction comes back to bite at his credibility. If Gibson loses, and becomes personally liable for actions of his LLC, that decision becomes reported and used as precedent in other cases. At minimum, that’s going to raise legal costs and uncertainty for LLC owners everywhere, particular in the IP arena because every patent monetization company is going to be compared to Righthaven, and even the owner of a patent who loses on a good faith argument of infringement or validity may end up having personal assets at least threatened as a result.
I assume that some folks around here don't think that's a particularly bad result. And even though I'm not a fan of Righthaven or patent trolling companies, I do think that we should be pretty careful about under what circumstances the corporate veil should be pierced (though I know many here disagree). To be honest, the more we see about the way Righthaven acted, I think there is growing evidence that it was abusing the corporate structure to do questionable things -- and thus, this might be a case where corporate veil piercing makes sense. As long as other trolling operations aren't doing that, then perhaps this won't be as big an issue.


Reader Comments (rss)

(Flattened / Threaded)

  •  
    identicon
    Minimum wage Techdirt Shill, Mar 28th, 2012 @ 4:02pm

    50 years later (after the company is long gone and half its members died of old age)

    Cough ... cough ... cough ... now where did I leave my prescription glasses and false teeth???

    That Righthaven will regroup one day, continue the lawsuit, and win!!!

     

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    •  
      icon
      silverscarcat (profile), Mar 28th, 2012 @ 4:27pm

      Re:

      *looks at your name*

      Who's paying you?

       

      reply to this | link to this | view in chronology ]

      •  
        identicon
        Minimum wage Techdirt Shill, Mar 28th, 2012 @ 9:28pm

        Re: Re:

        (50 years later) What's that you say???? I can't hear you, I lost my hearing aids and I can't find my glasses to help me find them.

        Oh, you said Righthaven made a comeback and won the case??? See, I told you so!!!!

         

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  •  
    icon
    That Anonymous Coward (profile), Mar 28th, 2012 @ 4:43pm

    A question and a comment...

    Q - Who the f*ck was dumb enough to hire this moron during the collapse of his last "firm"?

    C - Cocaine... it still is a hell of a drug.

     

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    •  
      icon
      Karl (profile), Mar 29th, 2012 @ 7:01am

      Re:

      Who the f*ck was dumb enough to hire this moron during the collapse of his last "firm"?

      Yeah, no kidding. Have his current employers even read Righthaven's court documents? I can't imagine anyone letting him within spitting distance of a courtroom ever again.

      Oh, and Righthaven wasn't a law firm... or at least they weren't supposed to be. Which is partly why they're in such hot water now (the "unauthorized practice of law" charges).

       

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  •  
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    Jay (profile), Mar 28th, 2012 @ 5:32pm

    A few pointers

    It's time for the court to stay its hand. We just need to give Gibson some guidance on what he did wrong. It's not enough that he was swimming in illegitimate cash. It's also not enough to show that his own lawyer has basically turned against him. Instead, it's time to show that we are a firm parent as we spank his hand.

    We have to take his hand and show exactly what is needed in this new process in healing.

    A very long paddle. And though it hurts us, we must take that next step in showing why his punishment is most deserved...

    We'll have to turn him around and give him a boot to the backside. The paddle is not enough incentive.

     

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      TtfnJohn (profile), Mar 28th, 2012 @ 7:15pm

      Re: A few pointers

      Gibson, it seems is determined not only to pierce the veil but to tear the whole thing down.

      I can see Anderson's concern and agree that it may rebound on other LLCs from legitimate performing companies to the non-performing companies that populate west Texas for the sole purpose of patent trolling.

      Righthaven was bizarre from the start, at least it's behaviour was so it's no surprise it's bizarre now even to the point of Gibson not caring about what affect he may have on others. It's a form of narcissism. Dangerous to others and, at some time to Gibson himself.

       

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        icon
        That Anonymous Coward (profile), Mar 29th, 2012 @ 6:37pm

        Re: Re: A few pointers

        He might also be concerned simply about "HIS" money he got from this bogus operation.
        If he can open up the people who got the lions share of the money, he might be thinking it won't hurt him as much.

         

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    •  
      icon
      The Devil's Coachman (profile), Mar 29th, 2012 @ 6:25am

      Re: A few pointers

      Rather than a paddle or a boot, I think a major beat-down with crowbars, bats and paving stones would be a fitting chastisement for that subhuman POS. Just leave him alive enough to know what was done to him and why, but with no ability to identify the celebrants.

       

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  •  
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    MahaliaShere (profile), Mar 28th, 2012 @ 7:10pm

    But... but... the schadenfreude

    Because I seem to lol at most Righthaven articles now, I'm kinda hoping the farce never ends.

     

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  •  
    identicon
    Anonymous Coward, Mar 28th, 2012 @ 7:16pm

    This sounds alot like SCO back in the day.

     

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  •  
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    G Thompson (profile), Mar 28th, 2012 @ 7:57pm

    Out in the wilds of New York I am told there is, and I gues I use the word loosely, an Attorney going by a name starting with R and ending with "sky"

    I would say more, but well TechdDirt and a few other blogs (not Popehat.. awww poor Ken) are in a dispute with this 'attorney'.

    My point to all this is, umm.. are Gibson and this other guy related? or is it an AKA.. I mean enquiring minds that are amazed at the stupidity and weirdness want to know.

    [Note: If a Mr Randazza is reading this whilst drinking or eating, NO I will not pay to clean your screen ;) ]

     

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    •  
      icon
      That Anonymous Coward (profile), Mar 28th, 2012 @ 11:40pm

      Re:

      *peers out of a darkened corner waiting to see if invoking the name makes Randazza appear*
      It's been a while, I'd enjoy running him off again...

       

      reply to this | link to this | view in chronology ]

      •  
        icon
        G Thompson (profile), Mar 29th, 2012 @ 12:22am

        Re: Re:

        You have to say it three times whilst reading "Go the Fuck to Sleep" and drinking Bourbon whilst watching your p0rn of choice.

        Or so I've been told. Though it has also been known to invoke the noodly wrath of the Flying Spaghetti Monster...

         

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        •  
          icon
          That Anonymous Coward (profile), Mar 29th, 2012 @ 3:16am

          Re: Re: Re:

          Pity... Samuel Jackson reads "Go the Fuck to Sleep" for me, I detest bourbon, and I find the pron Randazza trolls for boring and unimaginative.

          The FSM is my savior, so I think I'm good on that count.

           

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  •  
    identicon
    Anonymous Coward, Mar 28th, 2012 @ 10:56pm

    Can't wait for Mangano's response.

     

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  •  
    identicon
    Anonymous Coward, Mar 29th, 2012 @ 3:43am

    what a waste of a company!

     

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  •  
    identicon
    TFP, Mar 29th, 2012 @ 4:09am

    Why is this guy not in prison?

     

    reply to this | link to this | view in chronology ]


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