Hey PC, I didn't believe you about the court case so I Googled it.  Sure enough, there was the court transcript!  It seems IHOP's position on his termination was that they felt by keeping him on the payroll, the competition had a "leg up" on them. 
Trish, that's an interesting concept.  I heard the psycho is considering a sex change operation, and wants to change his name to Eileen.