In an almost unprecedented action, Sodexo USA, one of the nation’s largest food service and facilities management companies with over 120,000 employees, filed a civil lawsuit under the Racketeering Influenced and Corrupt Organizations Act (“RICO”) against the 2.1 million member Service Employees International Union (the “SEIU”) in an effort “to stop the illegal campaign of extortion that the SEIU has been waging in the U.S.” against Sodexo since 2009.(full story at citywatchla.com)
While this lawsuit was filed in March, the real action began on July 27 when a Federal District Judge in Eastern Virginia ruled that Sodexo’s claims of extortion against the SEIU may proceed under RICO because the company “has stated a claim upon which relief can be had.”
This ruling has significant implications. It will allow both parties to conduct extensive discovery as they prepare for a trial later on this year. Discovery involves the handing over of all requested and relevant documents as well the opportunity to depose witnesses under oath, subject to perjury laws if they are not truthful.
Meet Barack Obama (D-SEIU)