Can a PM be sued?

[pvmanjeshwar]

Suppose a project for multinational giant client flops. And the client was planning to give huge business to the company based on the success rate of this project

But because this first project has failed miserably, they have lost faith in the company.

This has caused damage to the company in terms of revenue, credibility, and reputation in addition to the resources, time and money.

In that case can the employer sue the project manager in the court of law for any reason?

The PM is a regular employee of the company?

[Moby Joseph]

Hi,

 

I hope this is not a question from any of the mock practice questions J

 

The contract is between the Performing Organization and the client. It is not between the Project Managers of both companies. The guy who signs the contract will usually be authorized by the company to sign such legal papers on behalf of the company. The signing authority will usually be the Corporate Counsel or senior finance guys in each location. (Differs from company to company)

 

So incase a client sues the PO, it will be against the company and not against the PM. Internally the legal of your company may ask you the clarifications though.

 

Incase if there is a NDA breach, I have seen that, companies sending legal notices directly to the employee. Eg: Employee joining previous employer’s client where the client is common to both the companies.

 

Regards

Moby   

[Prashant shenoy]

Since he is a regular employee ,the company cannot sue him in the
court of law.
Generally when anyone joins a company agreement of employment
includes notice period,Code of conduct ,NDA .
In this case it doesn't appear NDA breach.

Worst case the company can ask for an explanation( OPA,lessons learnt)
and then give him a pink slip.

[Moby Joseph]

Sorry I gave the answer thinking that the customer is going to sue the PM.
Lessons learnt - read and understand the question thoroughly before
answering it.

It seems like PM is the only culprit for the project failure. This is not
right and cannot be sued just for that wrong doing. Will have to analyse the
root cause for the failure and if it is definite miss from the PM, then he
will have to be thrown out. Else, you cannot sue your own employee.

As you mentioned if the client was planning to give huge business, then I
would have involved the senior managers & directors to have a close monitor
of this project. If proper and periodic review was done on the project, then
this high visibility project would not have failed unless PM & the team did
such blunders which triggered the failure.

Regards
Moby

-----Original Message-----
From: kw...@googlegroups.com [mailto:kw...@googlegroups.com] On Behalf Of