CH69 - Conspiracy

Ethan didn't need to think twice about the conflicts that arose while working at Magnavox.

"Barbara, you know about this. I just wrote an invitation letter as per the leader's request."

"For Nolan Bushnell."

Ethan said, "I didn't set the invitation list, and I don't have the authority to decide which guests should be received."

"Besides the invitation letter, the only conflict I had with Magnavox was when I was laid off. They wanted to withhold my compensation, and I used some strong language to defend my rights."

"What language?" Barbara was curious.

"Um... racial discrimination." Ethan took a deep breath and continued, "The HR member who spoke with me used derogatory language about Dr. King, and I pointed out his mistake, threatening to send a letter to the San Francisco Equal Rights Organization."

"Dr. King? Martin Luther King?"

While recording, Barbara agreed, "If Magnavox insulted him, your report was indeed a smart decision."

"Oh, thank you." Ethan expressed gratitude and added, "Then I also told them that their dismissal, influenced by Philips' foreign capital invasion."

"..."

At this point, Barbara, who was recording, suddenly paused.

She raised her head slightly and glanced at Ethan.

In her bright eyes, there was a hint of confusion. "Do you mean your dismissal happened after Philips acquired Magnavox?"

"Yes."

"Okay." Barbara made a note of this point, "So... you were chosen as a scapegoat by the leadership?"

"I believe so." Ethan nodded, frankly saying, "In fact, I always had a feeling that they kept me to fire me during accountability, covering up their incompetence."

"Great move, sweetheart."

Barbara smiled at Ethan's words. "If you're sure there are no other conflicts between you and Magnavox, then I suspect, in such a bureaucratic company, suing you is just to cover up their incompetence."

"Of course, this is just a suspicion."

'?'

Ethan squinted his eyes.

He felt Barbara's words made sense.

After all, as the saying goes, the fish rots from the head. When the leaders of the branch company desperately shift blame to save their positions, how could the top leaders of the direct company willingly take responsibility for the parent company's accountability?

The "Snake Game" developed by Ethan, a former Magnavox employee, indeed embarrassed Magnavox.

While Ethan pondered, Barbara wrote down her speculations and then asked, "Now, please evaluate Nolan Bushnell and Don Valentine separately. What do you think of these two individuals?"

"Also, before being sued by Magnavox, did you have any conflicts with Atari?"

Though Ethan didn't understand why Barbara thought Atari was targeting him, he carefully recalled the events of the past few months as per her inquiry.

His evaluation of Nolan Bushnell was, "He is a successful and outstanding businessman. I say he's successful because he saw the value of 'Snake Game' and wanted to monopolize the ownership through long-term agency negotiations in the early stages. He's outstanding because even in adversity, he didn't give up. Even if the lawsuit couldn't be won, he tried to seek a settlement by gaining Ralph H. Baer's sympathy and reconciling with Magnavox."

His evaluation of Don Valentine was, "An extreme egoist who can go to any lengths for profit. The negotiations over 'Snake Game' and last night's questioning both reflect his dissatisfaction representing Atari."

After recording Ethan's words, Barbara nodded with a smile.

"It's indeed suspicious." She murmured and then raised the blank paper, pointing to Ethan's evaluations. "Ethan, did you say Don Valentine yelled at you last night, threatening to sue you?"

"Yes."

"Did you also say that Don Valentine indicated last night that they would reach a settlement with Magnavox, meet all of Magnavox's demands, stop selling 'Snake Game,' compensate Magnavox for a million in losses, and recall all products already on the market, including the arcade machine and circuit boards of 'Snake Game'?"

"Yeah," Ethan confirmed he hadn't misunderstood.

"So, here's the problem."

Barbara put down the paper, knocked on the table, and said, "Ethan, perhaps because you don't have a specific understanding of our country's patent protection law, you might think Don Valentine's behaviour is normal."

"But let me tell you, his behaviour is abnormal."

"Although our country's patent protection law mentions that when the plaintiff sues the defendant, claiming infringement of their patent, the plaintiff has the right to request the defendant to recall and destroy the infringing products from the market, in practice, this is very difficult to achieve."

"Or rather..."

Barbara extended her voice, giving Ethan a meaningful smile.

"Basically impossible."

Barbara leaned back, serious. "Regarding patent protection laws, our 'United States Code' has a comprehensive collection, and there's a provision stating that when the plaintiff sues the defendant for patent infringement and demands the defendant withdraw the infringing products from the market, four conditions must be met for the court to issue an injunction."

"The first condition is whether the plaintiff will suffer irreparable harm due to the defendant's infringement."

"This is generally impossible because the plaintiff must be on the verge of bankruptcy for it to be irreparable harm. By that time, the infringing company has become a significant player in the single market. To ensure market stability and economic development, the victimized company is usually the one sacrificed."

"The second condition is whether the monetary compensation in the case is sufficient to compensate for the plaintiff's losses."

"When the plaintiff actively brings up monetary compensation, this condition is a given."

"The third condition is whether the injunction is in line with the public interest."

"The fourth condition is whether the injunction will cause reasonable harm to both parties and others."

"In actual practice, the last two points have a lot of operational space. Taking 'Snake Game' as an example, if such a phenomenal game is recalled and destroyed, it will cause significant harm to public entertainment. Moreover, for businesses selling arcade machines, there will be significant economic losses."

"In this situation, as long as Magnavox doesn't go bankrupt due to the sale of 'Snake Game,' how could the court support Magnavox's request for Atari to recall 'Snake Game'? So why would your extreme egoist be angry and claim he will cooperate with Magnavox to shift all the blame onto you?"

Barbara looked at Ethan, her bright eyes shining with intelligence.

Then, she leaned back, mocking, "When Don Valentine said he would make Atari recall the 'Snake Game' arcade, there's a problem with this person! Because the 'Pong' in the market wasn't recalled!"

"If we want to compare the impact of infringement, 'Pong' is obviously more significant than 'Snake Game'!"

"Right?"

"When he has already experienced the lawsuit over 'Pong,' and he clearly knows that infringing products like electronic games don't need to be recalled, why would he still claim, in your presence, that he would cooperate with Magnavox and shift all the losses onto you?"

"Isn't this behavior abnormal?"

"Moreover, you just said that Don Valentine wants to sue you for concealing the truth?"

"Wants to label you as engaging in commercial fraud?"

"Isn't this putting unnecessary pressure on you?"

"Do you think a normal person, an extreme egoist, will do this?"

"Putting pressure on you, so you will spill the beans?"

"What's his intention?"

Barbara leaned forward, watching Ethan with her bright eyes.

Ethan's heart raced.

Although he and Barbara didn't discuss the current situation in detail, he couldn't help but marvel at how accurately she analyzed Don Valentine's actions.

As Barbara pointed out, recalling products from the market wasn't a standard practice in patent lawsuits. However, Don Valentine insisted on reaching a settlement with Magnavox, recalling 'Snake Game,' and paying one million in losses.

His strange actions puzzled Ethan, and Barbara's words made him even more uncertain about the real purpose behind Don Valentine's actions.

Barbara didn't rush and continued, "Ethan, in fact, Don Valentine's actions yesterday already proved his intention to shift the blame onto you. Perhaps, he already knew about Magnavox's plan."

"He was putting pressure on you, hoping you'd inadvertently leak information."

"Then, Magnavox, along with other companies that could be dragged into this incident, could use this as an excuse to pursue the maximum amount in compensation."

"That's his intention."

"What do you think?"

While Barbara spoke, she deliberately stared into Ethan's eyes.

Ethan hesitated for a moment and finally nodded.

"Actually, I was also puzzled by his actions last night."

Barbara smiled and leaned back. "You were puzzled, right?"

"I've worked with him before. He's an extreme egoist who doesn't care about anything except profit. When he insisted on reaching a settlement with Magnavox and recalled 'Snake Game,' I felt something was off."

"Right? You're smart!"

Barbara praised Ethan, making him feel a sense of pride.

She then added, "Since you've worked with him before and think his actions are abnormal, then the reason behind this abnormality is clear."

"Then, when did Magnavox and Don Valentine make contact?"

Ethan thought for a moment, and as per his memory, he replied, "It seems to have happened before Magnavox sued Atari."

"Before?" Barbara raised her eyebrows, a hint of surprise in her eyes. "That's interesting."

"So you mean that Magnavox and Atari negotiated before the lawsuit?"

"Yes, that seems to be the case."

"Then, Ethan, I want you to recall the time Don Valentine visited you and the content of your conversation."

"He visited me about a week before Magnavox sued Atari."

"Then, what did he say during the visit?"

Ethan thought carefully before speaking, "During the visit, Don Valentine expressed dissatisfaction with the negotiation process of 'Snake Game.' He claimed that he wanted to meet the leader of Magnavox, so he could discuss it directly and settle the matter."

"So, after his visit, the lawsuit followed."

Barbara nodded thoughtfully, her expression serious.

"Thanks, Ethan. Your words are crucial in this case."

"Can you prove the content of your conversation with Don Valentine?"

"I remember it quite clearly."

"Good." Barbara nodded in satisfaction, "Then, we can analyze the situation now."

"First, Don Valentine visited you, expressing dissatisfaction with the negotiation process of 'Snake Game.' After that, he tried to shift all the blame onto you."

"Second, Magnavox, facing huge losses, filed a lawsuit against Atari, seeking a massive amount in compensation. Simultaneously, they reached an agreement with Don Valentine on the terms of the settlement."

"Third, Don Valentine, after reaching the settlement, threatened you last night. His intention was clear: he wanted to pressure you, hoping you'd inadvertently leak information about the lawsuit."

"Now, let's combine these three points. Don Valentine visited you, expressed dissatisfaction with the negotiation process of 'Snake Game,' and suggested reaching a settlement. After that, Magnavox filed the lawsuit, and Don Valentine cooperated with Magnavox on the terms of the settlement, planning to shift the blame onto you and seek maximum compensation."

"In other words, Don Valentine and Magnavox had already planned to use you as a scapegoat before the lawsuit was filed."

Barbara's analysis was meticulous and logical.

As Ethan listened, he couldn't help but feel a chill down his spine.

He realized that Don Valentine's actions weren't just strange; they were part of a larger conspiracy.

"D-does that mean..." Ethan stammered, "Magnavox and Atari had planned this lawsuit from the beginning?"

Barbara nodded, her eyes gleaming with intelligence. "Yes, it's highly likely. The visit by Don Valentine, his actions, and the subsequent events all point to a premeditated plan."

Ethan's mind was in turmoil.

He never thought that the lawsuit, the threat, and everything that happened were part of a carefully orchestrated plan.

Barbara then looked at Ethan and said, "Ethan, your value in this case is crucial. We need to expose their conspiracy and clear your name. Are you willing to cooperate with us?"

Ethan took a deep breath and replied, "I want to expose the truth. I don't want to be wronged. I'm willing to cooperate with you."

Barbara nodded, a determined look in her eyes.

"Good. We have a tough battle ahead, but with your cooperation, we'll uncover the truth and bring those responsible to justice."

As Barbara spoke, a beam of light seemed to pierce through the mist, revealing a path forward in the darkness.

The battle for justice had just begun.