business news in context, analysis with attitude

Julie Roehm, the former Wal-Mart marketing executive who was fired from the company for unethical behavior, and who subsequently sued the retailer for wrongful termination, reportedly has agreed to drop her lawsuit against the company without receiving any compensation.

At the same time, Wal-Mart has said that it will drop its countersuit against Roehm. And Irwin Jacobs, who Roehm had accused of giving preferential prices to Wal-Mart CEO Lee Scott in direct violation of Wal-Mart’s policies, also has agreed to drop his lawsuit against Roehm in exchange for her statement that some of her accusations were inaccurate.

Roehm’s original suit was filed against Wal-Mart in Michigan, but it was dismissed because the judge said it needed to be filed in Arkansas. The agreement by Roehm simply says that she will not refile the lawsuit, and she said in a statement on Friday that the legal maneuvers had proven to be “financially draining.”

KC's View:
It probably is a good thing that these various lawsuits are being dropped so everybody can get back to work.

But…

Maybe it is just the part of me that likes to stir up trouble, but I have to say that I’m a little perturbed by the turn of events. I have no idea whether Julie Roehm behaved unethically when she worked for Wal-Mart (though it is safe to say that she probably didn’t pay enough attention to the corporate culture, perhaps because she was hired to let some fresh air into Wal-Mart’s operations). But she made some pretty serious allegations against Lee Scott, allegations that essentially said that Wal-Mart’s highly touted moral high ground was a fraud because separate rules apply to the guy at the top.

And she made those charges after it had been revealed that the company’s former vice chairman – a man who was Sam Walton’s protégé – plead guilty to fraud and admitted soaking suppliers for personal gifts.

I sort of wanted to see this thing go to court, if only because there is nothing like being under oath to force people to admit the truth.

If Roehm’s charge were lies, and slander, then how does she just walk away from having made them?

Peace may reign, but the story remains untold.