Photo of a boat with the Oracle logo on it.
Oracle is being sued by HP CC by Chad/Picasa

Mark Hurd recently resigned after five years as CEO of Hewlett Packard. He left HP amid allegations brought by Jodie Fisher, a former consultant, of sexual harassment. Oracle took a chance on Hurd, not long after he left HP. It won’t be as easy as just showing up as the new co-president for Hurd. Hurd had to sign confidentiality agreements as part of his employment with HP. As a result, HP is suing Oracle for illegally hiring him. Hurd is a giant among men in the tech industry.

Hurd and HP didn’t part on the best terms

Mark Hurd was announced this week, according to Reuters, as the newest addition to the executive team of Oracle Corp. Charlie Phillips resigned as co-president, and Hurd will be taking that spot along with a position on the board of directors. Oracle is one of the largest computer technology corporations in the world, behind only Microsoft and IBM in sales of software. Oracle acquired Sun Microsystems earlier this year, placing the company in direct competition with HP. HP had a high profile bidding war with Dell for 3COM. Jodie Fisher used to be a consultant for HP, and her allegations of sexual harassment against Hurd led to his resigning from HP.

Lawsuit brought by HP against Oracle

Oracle became a direct competitor of HP after the acquisition of Sun Microsystems. The lawsuit alleges that Oracle could not legally hire Hurd, according to the New York Times. As CEO of HP, he has inside information that could breach contracts with HP. During Hurd’s time at HP, the company did a 180 and became far more profitable. HP also became more efficient under Hurd’s stewardship and became a success story in the past five years. Oracle CEO, Lawrence Ellison, compared allowing Hurd to leave to when Apple fired Steve Jobs.

There may be a conflict of interest

HP inside information is certainly known to Hurd, as he was an executive. There are usually confidentiality clauses in executive contracts. There is no guarantee the lawsuit will go very far. That said, it might be worth it in the end, as Hurd has a reputation for making an awful lot of money.

Citations

Reuters: http://www.reuters.com/article/idUSN0724548420100907

NY Times: http://www.nytimes.com/2010/09/08/technology/08hewlett.html?src=busln

Post By bryanh (1,420 Posts)

Connect

Do you have a fantastic idea related to this article, but just don't have the money you need to start your own company or side-business? Get the loans you need from https://personalmoneynetwork.com to help get your new company underway, from the small loan professionals at PersonalMoneyNetwork.

PG&E to pay $70 million for pipeline tragedy

PG&E to pay $70 million for pipeline tragedy

Pacific Gas and Electric Co., a northern California utility, has agreed to pay $70 million to the California town of San Bruno for a pipeline explosion that killed eight people in 2010. Company says it’s remorseful The San Francisco-based power company’s president, Chris Johns, released a statement Monday, saying PG&E is sorry and eager to […]

Judge stabbed and deputy shot in Washington courthouse

Grays Harbor County Courthouse

Following a standoff in a Washington state county courtroom Friday, a man reportedly escaped after shooting a sheriff’s deputy in the shoulder and stabbing a judge in the neck. The man is still at large. Treachery among the tree farms The incident occurred Friday afternoon in the western Washington town of Montesano, which bills itself […]

Microraptor was one flashy little dinosaur

Microraptor fossil

A team of Chinese and American scientists have found that Microraptor, a small four winged dinosaur that went extinct about 130 million years ago, was likely black and almost certainly had glossy, iridescent feathers. Until now, the coloring of extinct creatures was a matter of pure speculation. That may no longer be the case. The […]

Autocorrected message leads to school lockdown

Homage to the Sun

Adjacent schools in Georgia were locked down for two hours Wednesday after a text message reportedly warned of a “gunman” on campus. Later, it was learned that the message was the result of a smartphone autocorrect function, attempting to “fix” the misspelled slang word “gunna.” A series of mixups A series of mixups led to […]