$1.26 billion: What one missing letter could cost Pepsi
January 15, 2010 by Jared BilskiPosted in: In this week's e-newsletter, Latest news & views, Lighter-side
Misplaced paperwork — the root of the problem in this highly publicized case — is a compelling reason for companies to go paperless.
Here’s what happened: Two ambitious gentlemen decided to bring a lawsuit against PepsiCo, Inc., for “stealing” their idea to bottle and sell purified water.
But when a letter arrived alerting the soft drink juggernaut to the lawsuit by the Allen & Wright of bottled water, an unfortunate thing happened.
What happened? A Pepsi assistant put the letter aside to make preparations for a board meeting, and the critical piece of paper went missing — and Pepsi wasn’t ready in time for its court date.
Result: Pepsi failed to show up in court, which led to a default judgment being handed down. As it stands right now, Pepsi may be on the hook for $1.26 billion.
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Tags: Default judgement, Inc., Misplaced paperwork, Missing paper, Paperless, Pepsi, PepsiCo, Purified water
