IBM Sues to Block Oracle Management Hire
International Business Machines Corp. has sued to block the hiring of one of its former managers by rival Oracle Corp. (ORCL), underlining the growing competition between the technology giants.
IBM (IBM) sued 31-year veteran manager Joanne Olsen earlier this month in New York, alleging that her plan to join Oracle would violate a noncompetition agreement.
IBM alleges in the suit that Ms. Olsen was a part of an “elite” group of managers at Big Blue. “Ms. Olsen knows specific areas that IBM is targeting for growth and specific companies that IBM is considering acquiring in those areas,” IBM says in a complaint filed with the Supreme Court of the State of New York in Westchester County.
IBM says that Ms. Olsen signed a noncompetition agreement last year, agreeing that for a full year after her termination by IBM she wouldn’t work for a competitor, or for a company that competes with any units in which she worked. “Ms. Olsen’s employment at Oracle violates both provisions,” IBM says.
