How to Turn Down a Billion Dollars: The Snapchat Story

by Billy Gallagher

Reggie hired James Lee, an up-and-coming partner at Lee Tran & Liang, as his lawyer in the case. Lee had begun his career as an LAPD detective; when he started studying at Stanford Law School, the Palo Alto campus was so quiet it gave him insomnia. Evan and Bobby still retained Cooley LLP, who responded to Reggie’s letter in May 2012, as their lawyers for Snapchat. The ensuing discovery and depositions cost Snapchat significant time and money, but perhaps most importantly it weighed heavily on Evan at a pivotal point for the company. On April 5, Evan, Bobby, and their attorneys from Cooley, along with Reggie and his attorneys from Lee Tran & Liang, filed into a conference room in Cooley’s offices in downtown Santa Monica. Outside, tourists strolled up and down Santa Monica Boulevard, stopping in the trendy neighborhood’s upscale shops, restaurants, and bars; they might walk down the palm-tree-lined street to the beach or the famous pier. Inside the conference room the temperature was more frigid. Cooley’s Mike Rhodes began deposing Reggie, attempting to establish that Reggie had accomplished little since graduation: “What is your current employment, if any?” “Well, currently I’m working in the South Carolina attorney general’s office.” “And how long have you worked there?” “I guess about a month at this point.” “And what is your position?” “It’s basically an intern/clerk position.” “Is that a nonpaying position?” “Yes, it is.” “And again, what was your approximate start da...