HP and Lexmark bury hatchet over Dahlgren
Lexmark
and HP have settled their legal battle over an employee who jumped ship
from the former to the latter. Bruce Dahlgren was hit by a restraining
order that kept him from overseeing HP’s business in North America for
one year following his move from Lexmark. Dahlgren was vice president
and general manager of Lexmark’s North America Printing Solutions and
Services Division, becoming the head of enterprise sales for HP’s
Imaging and Printing Group after his switch.Legal proceedings first
began when HP and Dahlgren filed a complaint against Lexmark in the
Superior Court of the State of California for the County of Santa
Clara.Lexmark responded with a countersuit against HP and naming
Dahlgren, Vyomesh Joshi, Patricia Dunn and Mark Hurd.This was followed
by a separate civil court case filed by Lexmark in a US Circuit Court
in which Dahlgren issued a countersuit against Lexmark.However, an
injunction issued in the civil action backed the clause in Dahlgren’s
Lexmark contract that stopped him moving to a competitor and carrying
out a similar role for one year.Today’s agreement settles all claims
relating to both court cases.”HP is pleased to have resolved all
outstanding litigation with Lexmark in California and Kentucky relating
to Bruce Dahlgren’s joining HP,” said an official HP statement.”During
the litigation, Bruce Dahlgren and HP complied with all of the
restrictions imposed by the Kentucky court’s restraining order, and the
settlement clearly acknowledges this.”HP said that it is now looking
forward to Dahlgren making a contribution to the company’s business in
North America.As part of the settlement HP agreed to pay $525,000 to
Lexmark, although both parties will pay their own legal costs.Dahlgren
also agreed not to disclose any confidential or proprietary information
or to steal staff or customers away from his former employer.The
notebooks he used while employed at Lexmark will be destroyed on 9 June
2009.