The trade secrets and breach of contract suit claims that Hurd has put HP’s confidential information in peril. However, Oracle CEO Larry Ellison branded the suit as “vindictive”.
HP said: “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.”
Ellison responded: “Oracle has long viewed HP as an important partner. By filing this vindictive lawsuit against Oracle and Mark Hurd, the HP board is acting with utter disregard for that partnership, our joint customers, and their own shareholders and employees.
“The HP board is making it virtually impossible for Oracle and HP to continue to cooperate and work together in the IT marketplace.”
The legal documents show that Hurd’s contract with HP did not contain a noncompete clause, which is usually not enforceable in California. However the exit agreement did include a two-year confidentiality clause.
HP filed the suit on 7th September and is demanding a trial by jury. HP is seeking a temporary injunction and permanent injunction preventing Hurd from holding a position with a competitor in which he would disclose HP’s trade secrets, and compensation for “damages suffered”.
The Recycler reported yesterday that Hurd had been hired by Oracle, reporting to Ellison, a close friend of Hurd.