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HP Sues Hurd For Joining Oracle
CWmike writes "Hewlett-Packard is reported to be suing former CEO Mark Hurd, who was named co-president of rival Oracle on Monday. The Wall Street Journal first reported the news, and has now posted the full text of the suit on Google Docs. Among other things, it says, 'In his new positions, Hurd will be in a situation in which he cannot perform his duties for Oracle without necessarily using and disclosing HP's trade secrets and confidential information to others.'"
Such as, maybe, giving Larry her phone number?
Why, without your clothes, you're naked, Miss Dudley!
From your link:
"Non-compete agreements are enforceable for partnerships and when someone is selling their ownership interest in a company. A related topic is the protection of trade secrets. A company can prevent the use of its trade secrets, but it cannot prevent fair competition"
Looks like they are trying to use the "trade secrets" protection part.
You are correct in that it should be interesting to see how it plays out.
Just my $0.02.
-JJS
Where the sun doesn't shine?
I'm just surprised Oracle wanted him. From what I've heard about Hurd, he can be unstable, and isn't quite ready for daily use.
You are given the parachute in return for the non-compete clause. Therefore you are being compensated for not just getting fired and going to the competition and spilling your guts. The grace period lets your knowledge specific to the company go out of date.
Unless there's a signed "non-compete" document from Hurd, HP will just have to live with their mess up.
In California, non-compete agreements have been disallowed by the courts...
"You want to know how to help your kids? Leave them the fuck alone." -George Carlin
Secret 1: Outsource everything.
Secret 2: Employees are interchangeable.
Secret 3: Good enough is probably too expensive.
Secret 4: There is still at least enough good will for the HP name to milk another five years.
The ______ Agenda
...and decides to go to Oracle, is that considering 'following the Hurd?"
Don't fear the penguins
What, in the netbeans?
"Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
He made lots of money for stockholders, but at the expense of the employees. Remember, CEOs work for the company, which is defined as the shareholders. They often view their employees as resources to be exploited, like untapped oil reserves, or forests full of uncut trees. To this end, they are employers, with the power to hire and fire. Good employers take care of their employees. Bad ones exploit them. According to many current and former HP employees, Mark Hurd served the shareholders well, steering the company in a direction that made them a lot of money, but did so by exploiting his employees. Ergo, good CEO, but bad employer.
Especially since he signed a separation agreement that paid him $12,224,693.00 in return for keeping those secrets, and agreeing not to accept employment that would conflict. He can now kiss that money good-bye, as the lawyers will eat it up.
California is a Right to Work State, you want to sue to prevent someone from having a job? Then move to Washington or New York.
Here in California we recognize the need for a person to earn a living plying their skill is more important than your need to treat people like property.
But hey, since those lawyers are salaried, better to use them to harass Mr. Sexual Harassment to put those payroll dollars to work am I right?
HP's Board may be pretend to be aggrieved, but there is little they can do. California basically bans non-compete clauses. Some lawyers will get rich, and it will all be settled out of sight.
It would be more convincing if HP weren't such d@mned hypocrits: they complain of corporate secret leakage, yet they hired in Carly Fiorio as CEO from Lucent to get networking going and Mark Furd himself from NCR. Both "closer" in market terms to HP than Oracle is.
I think the HP Bored is just unhappy Mark bounced back quickly and very vexed the market agrees with him (Oracle's stock when up, HP down). Arrogant SOBs. I'd be embarrassed to work for them. Or buy their products.