The news that an executive from enterprise content management company EMC was leaving the company for rival Hewlett-Packard appears to not be the end of the story as both EMC and the former employee have now filed suit against each other.
On Tuesday HP announced that David Donatelli, former president of EMC”s storage division, would become the company”s new vice president of enterprise servicers, storage and networking, effective May 5.
But by Thursday, both parties were suing each other in cases that surround the non-compete clause in Donatelli”s contract.
Shortly after resigning his position at EMC, Donatelli filed suit in California in an attempt to nullify the clause, but EMC countered with a lawsuit of their own in Massachusetts, hoping to stop him from joining the rival company.
Michael Gallant, a spokesperson for EMC, said the company will impose Donatelli”s employment agreement rules.
"Mr. Donatelli”s key employee agreement with EMC contains a non-competition clause and others protections for EMC that we intend to enforce," Gallant told Reuters.
Brian Daucher, a California-based attorney says California”s state laws may help Donatelli in this case.
"California has the best laws for employees," he told ChannelWeb. "When companies decide to fight over non-competes, there”s a battle about where it gets litigated. If you are a California resident who works for a Massachusetts company, it will be litigated in California regardless of what the clause says."