03/18/2010 05:12 am ET | Updated May 25, 2011

PepsiCo's $1.26 Billion Case: How Did This Happen?

PepsiCo has been hit with a $1.26 billion judgment for failing to respond -- at all -- to a lawsuit. If someone sues you and you fail to show up, the court can issue a default judgment. These judgments usually come in small claims or where defendants have no intention of paying anyway, not in cases involving Fortune 100 companies. So, how'd this happen?