Qualcomm Inc. clarified last week that its former general counsel, Lou Lupin, is taking a personal leave and is not resigning from the company.
Qualcomm had issued a terse press release last Monday stating that Lupin had resigned his position as general counsel, which is true, and inadvertently given the impression that he had left the company.
“Lou has not left the company and essentially could come back after his leave in some kind of role,” said spokeswoman Bella Alabanza. “What that role is, we don’t know.”
Qualcomm’s support
Commenting on media speculation that a series of legal setbacks for Qualcomm had led to Lupin’s resignation, Alabanza said in an e-mail: “We do not blame him for these recent court defeats. Lou is an outstanding attorney and leader. He played a major role in building Qualcomm’s legal department, the oversight of several successful litigation matters, the formation of a successful technology-licensing program and the negotiation of major licensing agreements.
“The timing of this decision was Lou’s and the reasons were personal to Lou,” Alabanza concluded. “We respect his privacy and so cannot comment further on those reasons.”
Carol Lam, former U.S. attorney for the Southern District of California, will fill the role of acting general counsel at the company as it conducts a search for Lupin’s replacement. Lam was one of several U.S. attorneys fired last year by the Bush administration’s Department of Justice in actions now under investigation by Congress.
Recent legal setbacks
Lupin’s resignation had stirred speculation that Qualcomm’s recent series of legal setbacks-notably with rival Broadcom Corp. over patent infringement issues-led to his departure. Those setbacks may well have influenced Lupin’s reasons for stepping down but he has not commented publicly on the issue.
Lupin’s resignation comes at a difficult time for Qualcomm as the company faces numerous cases in court and before regulatory bodies, including complaints by Broadcom, as well as litigation with Nokia Corp. and other industry players such as Texas Instruments Inc.
A ban is in effect on the importation of new 3G handsets containing Qualcomm chips (that the U.S. International Trade Commission found infringe on a Broadcom patent) potentially blocking sales of the latest handsets by the top-tier carriers in the upcoming, lucrative holiday season. In order to avoid the impact of the ban, Verizon Wireless has struck a deal with Broadcom that could cost the operator as much as $200 million.
In its announcement of Lupin’s leave, however, Qualcomm President Steve Altman signaled to investors that Qualcomm could handle its legal challenges.
“Carol is highly regarded as a top prosecutor who has litigated complex cases with national impact,” said Altman in the Aug. 13 press release noting Lupin’s resignation. “With her experience and proven track record, I have full confidence that Carol and the senior members of our legal team will continue to manage our legal matters during this transitional period.”
