Right. Since the non compete was null it voids the contracts, meaning they can toss out anyone on one of those contracts without the protection that might have been in it, in terms of stock or severance.
At the same time they can't enforce any non competes so anyone who walks can do anything they want,
Also I took it as them using the money from firing those people to pay for the huge buyout on Big Head who had a valid contract. Gavin made that his priority over day care or bonuses so he could further bury the failure of nucleus. He cut the division now he needs to hide the moron he kept around only for the lawsuit that he lost and fucked over the contracts.
Edit...not sure why I'm a retard and posted twice instead of it going into one. Thought I quoted into both but I'm an idiot.