Read It Yourself: The Cahill Complaint

COMMONWEALTH OF MASSACHUSETTS
Norfolk, ss Superior Court Department
 of the Trial Court
__________________________________________

 )
TIM CAHILL FOR GOVERNOR, )
 )
 Plaintiff, )
 )
v. ) Civil Action No.
 )
STRATEGIC NATIONAL CAMPAIGN )
MANAGEMENT LLC, JORDAN GEHRKE, )
ADAM MELDRUM, JOHN WEAVER, and )
JOHN YOB, )
 )
Defendants. )
__________________________________________)

VERIFIED COMPLAINT AND REQUEST FOR INJUNCTIVE RELIEF

I. INTRODUCTION

1. While engaged to perform services for Cahill for Governor, Defendants Strategic
National Campaign Management LLC, Jordan Gehrke, Adam Meldrum, John Weaver and John
Yob converted the Cahill Campaign's trade secrets and confidential and proprietary information by forwarding such information to the rival campaign of Charlie Baker. The Cahill Campaign seeks this Court's assistance to limit any exposure that the Defendants unlawful conduct has created and will create for the Cahill Campaign and to prevent the further loss of its highly confidential campaign strategy information as a consequence of the Defendants wrongful acts.

II. PARTIES

2. The plaintiff, Cahill for Governor Committee, is a political committee formed
pursuant to G.L.c. 55, 5.

3. On information and belief, defendant Strategic National is a limited liability
corporation with a principal place of business in Grand Rapids, Michigan. Strategic National
contracted with the plaintiff in Massachusetts to provide services in the Commonwealth, and its breaches and misconduct occurred here and have caused injury here.

4. Defendant John Weaver (Weaver) is a political consultant and a principal of
Strategic National. His breaches and misconduct described herein, and the injury arising
therefrom, occurred in the Commonwealth of Massachusetts. Weaver served as a Senior
Strategist for the Cahill Campaign.

5. Defendant John Yob (Yob) is a political consultant and a principal of Strategic
National. His breaches and misconduct described herein, and the injury arising therefrom,
occurred in the Commonwealth of Massachusetts. Yob served as a Senior Strategist for the Cahill Campaign.

6. Defendant Adam Meldrum (Meldrum) was retained by Strategic National to
serve as the campaign manager for Cahill for Governor. His breaches and misconduct described herein, and the injury arising therefrom, occurred in the Commonwealth of Massachusetts. Meldrum served as the Campaign Manager for the Cahill Campaign.

7. Defendant Jordan Gehrke (Gehrke) was retained by Strategic National to serve
as political director of the campaign. His breaches and misconduct described herein, and the
injury arising therefrom, occurred in the Commonwealth of Massachusetts. Gehrke served as the Political Director of the Cahill Campaign.

III. FACTS

8. Cahill for Governor is the campaign committee for Timothy Cahill, who is
currently an Independent candidate for the office of Governor of the Commonwealth of
Massachusetts.

9. In March 2010, Cahill for Governor hired Strategic National to provide political
consulting services for Mr. Cahill's campaign. On information and belief, Strategic National was introduced to Cahill for Governor by Jason Zanetti, a lawyer and health care lobbyist in Boston.

Zanetti is associated with Paul Loscocco and introduced Loscocco to the campaign. Until early
October, Loscocco was Mr. Cahill's running mate and a candidate for the office of Lieutenant
Governor. A copy of the contract between the Cahill Campaign and Strategic National is
attached hereto as Exhibit A.

10. The contract contemplated that Strategic National would work for the Cahill
campaign through the election in November 2010. Cahill for Governor agreed to pay Strategic
National a monthly fee of $30,000 for March 2010, $35,000 for each month from April-August, $60,000 for each of September and October, and a win bonus of $100,000. Strategic National, therefore, stood to earn a minimum of $325,000 for its services, and as much as $425,000. To date, Strategic National has been paid approximately $215,000 for its services.

11. Weaver and Yob are the principals of Strategic National. Meldrum and Gehrke
were retained by Strategic National to provide services on its behalf to Cahill for Governor.

12. Under the contract, Weaver and Yob promised that they would serve as Senior
Strategists for Cahill for Governor. Meldrum promised to serve as campaign manager for
Cahill for Governor. Gehrke promised to serve as political director of the campaign.

13. As Senior Strategists, Weaver and Yob agreed to raise money for the Cahill
campaign, and promised to develop and oversee the implementation of the Strategic Plan for the campaign. According to Strategic National, there was nothing more immediately important to the campaign than developing a strategic plan. The Strategic Plan included such items as a campaign timeline, budget, messaging, and tactics for the implementation [of] the strategy.

14. As the architects and managers of the Strategic Plan, Weaver and Yob therefore
had access to all of the most vital and confidential strategic and tactical elements of the
Cahill campaign. They were not just aware of, but in charge of, all of the campaign's finances,
messaging and tactics. They also control the campaigns voter identification database and its victory VOIP telephone system.

15. As campaign manager and political director of the campaign, respectively,
Meldrum and Gehrke's duties included building the campaign organization, writing and
disseminating research material, facilitation of state and national news, and overseeing the
development of direct mail and television ads in conjunction with Weaver and Yob. In other
words, they essentially ran the campaign on a day-to-day basis. Like Weaver and Yob, therefore, Meldrum and Gehrke were entrusted with all of the confidential information that the Cahill campaign possessed about its strategic prospects and tactical plans.

16. Gehrke left the campaign first. Weaver, Yob and Meldrum, however, remained in
their positions until late September, amassing a wealth of confidential information in the process.

By that time, Weaver, Yob and Meldrum knew how much money the campaign had, and how
much it expected to raise. They knew how the campaign intended to spend that money as well.

They knew the issues that the campaign intended to emphasize and the messages that it wanted to convey. They knew the campaign's media and electioneering strategy, and how it planned to get out the vote. The defendants, in other words, knew (and know) essentially everything there was to know about the campaign's strategy and tactics for the final push to the election.

17. By late September, in fact, Weaver, Yob and Meldrum were in possession of
information that other, loyal members of the campaign did not have. Through their association with Jason Zanetti, they had learned that Paul Loscocco might be persuaded to abandon the Cahill campaign and endorse Mr. Cahill's Republican opponent, Charlie Baker. As Weaver told his cohorts on September 18, Paul will be given/offered a lifeline. Up to him to take it or not.

18. Weaver, Yob and Meldrum did not disclose this bombshell to the campaign. They
coordinated their efforts, rather, with Zanetti and Loscocco. As Weaver told Yob and Meldrum in an email dated September 18, 2010, the only moral obligation we have is to protect Paul
[Loscocco]. A copy of this email is attached as Exhibit B. Weaver went on to state, Paul
[Loscocco] should do nothing right now until Jason [Zanetti] and I speak. This has to be done in such a way as Pauls future is protected and everyone else is fine. Ive started that process.
(Emphasis added.)

19. Weaver and Yob resigned from the Cahill campaign on September 23, after they
had learned about Loscocco's imminent defection but before it occurred.

20. Meldrum left a day later, almost immediately after receiving Weaver's inducement
that his short term future will be brighter by doing the right thing. A copy of this email is
attached as Exhibit C.

21. The terms of this inducement soon became apparent. Within a day, Weaver put
Meldrum in touch with Nick Ayers, the Executive Director of the Republican Governors
Association (RGA), about a job prospect working on a campaign in New Mexico. A week later, Meldrum complained to Weaver that he had sent Ayers a couple emails trying to figure out who I need to get in touch with at RGA to get my pay set up, but I have not heard anything back.  On information and belief, the RGA subsequently provided Meldrum with the job in New Mexico that Weaver had arranged for him. A copy of this email is attached as Exhibit D. The RGA has spent millions of dollars in ads attacking Tim Cahill.

22. When they left, Weaver and Yob promised Mr. Cahill that neither of us would go
to work for his opponents. . . . Even as they made that promise, however, they were actively
preparing to break it. A copy of this email is attached as Exhibit E.

23. First, Weaver, Yob and Meldrum coordinated Paul Loscocco's abandonment of the
campaign with Loscocco's associate, Jason Zanetti. Weaver, Yob and Meldrum traded
information about their own departure with Zanetti; they discussed with Zanetti the political risks and benefits that might accrue to Loscocco if he left the ticket and the best way to spin his departure; and then they helped Zanetti formulate what Zanetti in a communication with Weaver, Yob and Meldrum called the analysis/plan for Loscocco's departure. A copy of this email is attached as Exhibit F.

24. When Loscocco jumped ship, Yob informed Gherke and Meldrum: The deed is
done. A copy of this email is attached as Exhibit G.

25. Despite their recent promise not to go to work for Mr. Cahill's opponents, the
defendants immediately followed Loscocco into the Baker camp. On October 3, 2010, Zanetti
informed Yob and Weaver that he was scheduled to speak that day with Tim O'Brien, Bakers
campaign manager, re putting out some of the problems re the campaign, and urged Yob and Weaver to join the call, promising that he could try to schedule at a time convenient for you.

This email is in the email chain attached as Exhibit H.

26. Later the same day, Zanetti informed Weaver, Yob and Meldrum that "the Baker
folks would really appreciate" information about the Cahill campaign. Referring to a conversation he had already had with Meldrum, Zanetti said that Meldrum has some stuff and opined that, I think we should give them everything we have. Still later on October 3, Weaver answered affirmatively to Zanetti's question: Can we give them the stuff Adam [Meldrum] has? These emails are in the email chain attached as Exhibit H.

27. Since the stuff Adam has includes everything anybody could know about the
Cahill campaign and its plans for the final month before the election, it is clear that Weaver, Yob and Meldrum along with Zanetti are actively planning to disclose confidential information about the Cahill campaign to Mr. Cahill's opponent.

28. On information and belief, the defendants also intend to disclose confidential
information about the Cahill campaign to the Republican Governors Association (the RGA).
On the same day that Weaver confirmed to Meldrum that he and the RGA had arranged
Meldrum's new job, Weaver instructed Meldrum to email Dennise Casey at the RGA and follow through with respect to the emails and other things you have re: cahill and coordination wth lottery and ties to Patrick. Meldrum almost immediately contacted Dennise Casey. The urgency with which the defendants and the RGA viewed the process of extracting information about the Cahill campaign from the defendants is illustrated by the fact that Nick Ayers, the Executive Director of the RGA, then intructed Weaver to have Adam and Dennise coordinate so I don't slow things down.

These emails are in the email chain attached as Exhibit I.

29. It is apparent, therefore, that the defendants (a) possess confidential information
about the Cahill campaign, including information about its finances, its strategies and tactics, its voter databases, and its telephone system for the stretch run of the election campaign, and (b) intend in the very near future to communicate this information to the Baker campaign and/or the RGA.

30. The defendants scorn for their obligations to their former employer is illustrated
by the fact that, when a representative of the Cahill Campaign recently warned them in an e-mail of the possibility of a lawsuit, Weaver's only two comments to his associates was to agree that we [can] use this email and a more blunt: Fu-k him. These emails are attached as Exhibit J.

COUNT I
(Breach of Contract
vs. Strategic National)

31. Plaintiff repeats and realleges the allegations contained in Paragraphs 1 through 30
above as if expressly restated and realleged.

32. Strategic National's contract with the Cahill Campaign is valid and enforceable.

33. By failing to perform the duties set out in the contract and converting the Cahill
Campaign's trade secrets and confidential and proprietary information, Strategic National has
breached the terms of this contract.

34. Strategic National's breach of contract is willful and knowing.

35. As a direct and proximate result of Strategic National's breach of contract, the
Cahill Campaign has suffered and continues to suffer substantial damages for which Strategic
National are liable.

COUNT II
(Breach of Covenant of Good Faith and Fair Dealing
vs. Strategic National)

36. Plaintiff repeats and realleges the allegations contained in Paragraphs 1 through 35
above as if expressly restated and realleged.

37. In all contracts governed by Massachusetts law, there is an implied covenant of
good faith and fair dealing that neither party shall do anything that will have the effect of
destroying or injuring the right of the other party to receive the fruits of the contract.

38. The actions of Strategic National, as described above, constitute a violation of the
covenant of good faith and fair dealing inherent in the contract with the Cahill Campaign.

39. As a direct and proximate result of Strategic National's breach of the covenant of
good faith and fair dealing, the Cahill Campaign has suffered and continues to suffer irreparable harm and substantial damages for which Defendants are liable.

COUNT III
(Unfair and Deceptive Trade Practices, M.G.L. ch. 93A, 11
vs. All Defendants)

40. Plaintiff repeats and realleges the allegations contained in Paragraphs 1 through 39
above as if expressly restated and realleged.

41. The Defendants provide political campaign strategy consulting services in Massachusetts. The Defendants, therefore, were engaged in business at all material times described herein, as that term is defined by M.G. L. c. 93A.

42. Defendants have engaged in unfair business practices by breaching their contract
with the Cahill Campaign, converting confidential and proprietary business information, and
interfering with its advantageous business and contractual relations.

43. The Defendants employment of the above alleged acts and practices was
intentional, willful, and knowing.

44. Defendants actions constitute unfair and deceptive acts or practices in violation of
M.G.L. c. 93A, 2 and 11.

45. As a result of Defendants violations of c. 93A, the Cahill Campaign has suffered
and continues to suffer irreparable harm and substantial damages for which Defendants are liable including, but not limited to, harm to the Cahill Campaign's confidential and proprietary
information, public reputation and advantageous relations with its business contacts as a result of Defendants' actions.

COUNT IV
(Conversion
vs. All Defendants)

46. Plaintiff repeats and realleges the allegations contained in Paragraphs 1 through 45
above as if expressly restated and realleged.

47. As a result of wrongfully taking and sharing the Cahill Campaigns proprietary
and confidential information, Defendants wrongfully exercised dominion over the Cahill
Campaign's personal property.

48. Defendants exercise of dominion over the Cahill Campaigns proprietary and
confidential information was without right because Defendants were not authorized to take and share such property. Defendants actions resulted in the appropriation of the Cahill Campaign's property, and Defendants deprived the Cahill Campaign, the rightful owner, of such property. As such, Defendants wrongfully converted to their own use Cahill Campaign property.

49. As a direct and proximate result of Defendants' conversion of the Cahill
Campaign's property, Plaintiff has expended significant time and money investigating
Defendants' actions in an effort to uncover the extent of their wrongdoing. In addition, if
Defendants use for their or others' benefit, or further disseminates the Cahill Campaign's
proprietary and confidential information, the Cahill Campaign will suffer irreparable harm.
50. As a direct and proximate result of Defendants' conversion of the Cahill Campaign's property, the Cahill Campaign has suffered and will continue to suffer irreparable
harm and substantial damages.

COUNT IV
(Breach of Duty of Loyalty
vs. Gehrke, Meldrum, Yob and Weaver)

51. The allegations of the paragraphs 1 through 50 are incorporated herein by
reference with the same force and effect as if set forth in full below.

52. As high level members of the Cahill Campaign, Gehrke, Meldrum, Yob, and
Weaver (the Individual Defendants) had a common law duty of loyalty to the Cahill Campaign.

53. On information and belief, after leaving the Cahill Campaign, the individual
defendants used or intend to use for their own personal benefit, confidential information
pertaining, or confidential information concerning budget, ad buys, strategy, and tactics for the final push to the election which was acquired by the individual defendants as a result of their high ranking positions with the Cahill Campaign.

54. The foregoing conduct by the individual defendants constitutes a breach of his
duty of loyalty to the Cahill Campaign.

55. As a consequence of the foregoing, the Cahill Campaign has suffered and will continue to suffer irreparable harm and loss, and has sustained damages

COUNT VI

(Preliminary Injunction
vs. All Defendants)

56. The allegations of the paragraphs 1 through 55 are incorporated herein by
reference with the same force and effect as if set forth in full below.

57. The Plaintiff has high likelihood of success on the merits of its claims against the
Defendants. The information is clearly confidential, and the emails attached to this Verified
Complaint that there is an imminent risk of disclosure.

58. The Plaintiff will be irreparably harmed by these wrongful actions. If the
confidential campaign information concerning budget, ad buys, strategy, and tactics for the final push to the election is divulged to the Baker campaign and/or the RGA, it will be impossible to undo the damage caused to the Cahill Campaign.

59. The risk of irreparable harm to the Plaintiff outweighs the risk of harm to the
Defendants.

PRAYER FOR RELIEF

WHEREFORE, the Cahill Campaign respectfully requests that this Court:

(1) Enter a Temporary Restraining Order as requested in the accompanying motion;

(2) After hearing, enter a preliminary injunction:

(a) enjoining the defendants from disclosing, using, converting,
appropriating, retaining, selling, transferring, or copying any
internal Cahill Campaign information, including but not limited to
copies of all memoranda, correspondence, email, databases, and
telephone systems;

 (b) ordering the defendants to return to Company within three (3) days
of the Order of Court, any documents, including electronically
stored information containing internal Cahill Campaign information
and to certify under oath that they do not possess any internal
Cahill Campaign information; and

(c) ordering the defendants to identify under oath all internal Cahill
Campaign information, including but not limited to copies of all
memoranda, correspondence, email, databases, and telephone
systems that they have transferred, and the persons to whom it was
transferred, outside the Cahill campaign, including, but not limited
to information forwarded to the Republican Governor's Association
or the Charlie Baker Campaign.

(4) Award the Cahill Campaign compensatory damages to the extent possible;

(5) Award the Cahill Campaign double or treble damages and attorneys fees in
accordance with the terms of M.G.L. c. 93A;

(6) Award the Cahill Campaign its reasonable attorneys fees and costs of this action;
and

(7) Order such other relief as is fair and just.

CAHILL FOR GOVERNOR

By its attorneys:

 ______________________________

Joseph L. Demeo, BBO No. 561254

jdemeo@jdemeo.com

Lawrence S. Delaney, BBO No. 557063

ldelaney@jdemeo.com

Neil W. Salon, BBO No. 643749

nsalon@jdemeo.com

Demeo & Associates, P.C.

One Lewis Wharf

Boston, MA 02110

(617) 263-2600

October 7, 2010

VERIFICATION

 I, Scott Campbell, Campaign Manager of the Cahill Campaign, hereby verify that I have
reviewed this Verified Complaint and that the facts contained herein are to the best of my
knowledge, information and belief, true and accurate.

 Signed this 7th day of October, 2010.

 _______________________________

 Scott Campbell

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