PHOTO FINISH: Snapchat co-founders Evan Spiegel and Robert Murphy settled an ownership dispute with Frank Reginald Brown, a former Stanford fraternity brother who claimed to be behind the idea that sparked the disappearing picture app. Brown filed a complaint at the Los Angeles Superior Court in February 2013, claiming he was shut out of an ownership stake in the company and was not compensated for his role before being ousted shortly after the Venice startup’s launch. Terms of the settlement were not disclosed.
SICK: Gov. Jerry Brown has signed a bill requiring employers to provide both full- and part-time workers with at least three paid sick days each year. AB 1522, authored by Assemblywoman Lorena Gonzalez, D-San Diego, will impact the roughly 40 percent of California workers who currently do not receive sick leave as a benefit. The bill requires employers to provide the leave at a rate of one hour for every 30 hours worked. When the law goes into effect July 1, California will become the second state, after Connecticut, to require paid sick days.
TINDER TURMOIL: West Hollywood mobile dating startup Tinder and its parent company InterActiveCorp have settled a sexual harassment and discrimination lawsuit filed by former executive and co-founder Whitney Wolfe. The lawsuit was settled without admission of wrongdoing and the amount of the settlement was not disclosed. Chief Marketing Officer Justin Mateen resigned from the startup shortly before the private settlement was reached, but Chief Executive Sean Rad, who was also named in the complaint, will stay on.
DAMAGES: A Los Angeles County Superior Court jury has awarded a Cambodian refugee couple a $39 million verdict against Pasadena’s East West Bancorp Inc. Choung Fann Yik and his wife, Ying Faung Ley, alleged the bank had breached a multimillion-dollar construction loan agreement with their business, F&F LLC, forcing it to default on the loan and leading to foreclosure on a commercial property. The couple had arranged a $34.5 million construction loan with East West in 2007 to build Victoria Promenade, a shopping and dining center in Rancho Cucamonga with offices, a hotel and gas station. They sued the bank in June 2011, contending East West failed to follow through on promises of continued funding after Victoria Promenade opened.
CLASS ACTION: DreamWorks Animation, Walt Disney Co. and Sony Pictures Animation were among a handful of animation studios named in a class-action lawsuit alleging they conspired to suppress the wages of visual effects workers by agreeing not to hire from each other. The antitrust lawsuit, filed in federal district court in San Jose, includes claims that while he was chief executive at Pixar, now a part of Disney, Steve Jobs formed a “no-raid” pact with DreamWorks Chief Executive Jeffrey Katzenberg in which they vowed not to actively pursue each other’s employees as a way of keeping pay rates uncompetitive.
SETTLED: American Apparel Inc. has agreed to pay $1 million to settle a civil lawsuit brought by the Orange County district attorney over an employee who was killed by an industrial knitting machine at one of the company’s factories in Garden Grove. Downtown L.A.-based American Apparel failed to provide a safe work environment, the District Attorney’s Office said, resulting in the death of Tuan Phan, a 49-year-old worker. Tuan had entered the cage of a knitting machine that had been turned off but was not disconnected from the main power supply or locked, as required by law. He was killed when it restarted, drawing him into the massive mechanism.
DESTINY: Activision Blizzard Inc. said the release of its first-person shooter videogame “Destiny” was the biggest franchise videogame launch yet. The Santa Monica videogame publisher sold $500 million in units of the game to retail stores and first parties the first day it was released. “Destiny” is a science-fiction game from Bungie Inc., the makers of the popular “Halo” series. Activision committed earlier this year to invest $500 million in the franchise over the next decade, a bet that already seems to be paying off.
FIRE: A fire at the recently closed Colossus, an old-school wooden roller coaster at the Six Flags Magic Mountain amusement park in Valencia, caused part of the structure to collapse. Los Angeles County Sheriff’s Department officials said the fire was sparked by welders working on the ride. There were no injuries as a result of the blaze. The 36-year-old coaster closed in August after Magic Mountain announced plans to revamp it into a wood-and-steel coaster named Twisted Colossus, scheduled to open next year.
WAGE HIKES: After Mayor Eric Garcetti’s proposal to gradually raise the minimum wage in Los Angeles, city councils in West Hollywood and Santa Monica have voted to consider their own minimum-wage hikes. The West Hollywood council voted to gather information about wages in the city, the first step toward deciding whether it should raise its minimum wage. The Santa Monica City Council voted to analyze how Garcetti’s proposed hikes would affect its city.
BRANDED: Indie film company A24 has struck a deal with Studio City medical marijuana dispensary Buds & Roses to sell two branded cannabis strains under the names Mr. Tusk and White Walrus as a promotion for Kevin Smith’s new film, “Tusk.” Graham Retzik, an A24 marketing strategist, said the branded weed will make the film stand out among the 400 that premiered at the Toronto Film Festival last weekend. It also plays to Smith’s stoner fan base, Retzik noted. The film is about a man who is slowly turned into a walrus by a mad scientist.
For reprint and licensing requests for this article, CLICK HERE.
Stories You May Also Be Interested In
- Movie Company Uses Medical Marijuana to Promote Film
- Activision’s Destiny Makes $500 Million in First Day
- Hollywood Has Designs on Jobs In Videogames
- Satellite TV Company Beaming Over Indie Films
- PAGA Suits Raise Employer Stakes
- Texas-Size Problem
- News of the Week
- State Chamber Lists Job-Killer Bills