A former in-house lawyer at Toyota has brought a lawsuit alleging that the company repeatedly ignored his warnings that important litigation evidence was being concealed and destroyed, reports Corporate Counsel.

Dimitrious Biller has accused Toyota Motor Sales USA of obstructing justice and violating civil racketeering laws and asked that the company be enjoined from enforcing the confidentiality clause that was part of his 2007 severance agreement.

He also is claiming damages from the auto retailer for allegedly harassing him and forcing him to resign.

Biller's complaint describes his four years at Toyota from 2003 to 2007, when he was national managing counsel in charge of defending litigation brought in rollover accidents involving the 4Runner sports utility vehicle.

"Key Toyota executives," he alleges, "have conspired, and continue to conspire, to unlawfully withhold evidence from plaintiffs and obstruct justice in lawsuits throughout the US."

The lawsuit also names as defendants the current GC at Toyota Motor Sales, Christopher Reynolds; his predecessor, Dian Ogilvie; Jane Howard Martin, an assistant GC in charge of outside counsel; Eric Taira, an assistant GC who was Biller's immediate supervisor; and Alicia McAndrews, a managing counsel in charge of airbag litigation.

In a statement, Toyota spokeswoman Zoe Zeigler said: "We are disappointed that Mr Biller has elected to file this lawsuit in an attempt to avoid what we believe are his obligations as an attorney formerly employed by Toyota. In our view, Mr Biller has repeatedly breached his ethical and professional obligations, both as an attorney and in his commitments to us, by violating attorney-client privilege in defiance of a court restraining order that Toyota obtained against him."

Biller's disagreements with Toyota began in 2004 when electronic discovery demands from plaintiffs led him to warn his superiors that the company was not being forthcoming. He claims that he was ignored but that he continued to highlight discovery violations, initiating three separate meetings with then-GC Ogilvie in late 2006 and 2007. For his efforts, his complaint says, he received a poor work evaluation.

In the spring of 2007, his physical and mental health began deteriorating, ultimately, he says, suffering a complete emotional breakdown. He took a medical leave in June and was "forced to resign" in September 2007. He claimed it was a "constructive wrongful discharge," and soon settled, without having filed a lawsuit, for $3.7m (£2.3m).

The severance agreement he signed included a confidentiality clause that requires him to pay $250,000 (£154,000) for each violation. Biller complains that Toyota has used it to attempt to silence him. He argues that it does not apply to instances where injunctive relief is sought, and it is invalidated by the crime/fraud exception.

Toyota's statement continues: "Toyota takes its legal obligations seriously and works to uphold the highest professional and ethical standards. Mr Biller continues to make inaccurate and misleading allegations about Toyota's conduct. We intend to defend against Mr Biller's claims vigorously."

Corporate Counsel is a US sister title of Legal Week.

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