Taiwan`s Acer sues former CEO over move to Lenovo
Taipei: Taiwan computer maker Acer Inc (2353.TW) has sued its former chief executive, Gianfranco Lanci, saying he breached a non-compete clause in an agreement covering his departure from the company in 2011.
Lanci left Acer abruptly at the end of March last year after a disagreement with other board members over the strategy needed to counter the runaway success of the tablet market, which has cannibalised Acer`s profits.
He joined rival PC maker Lenovo Group Ltd (0992.HK) as a consultant late last year to help develop its consumer business with a focus on Europe.
Acer said in a statement late on Tuesday that it filed the lawsuit in a court in Milan and was also seeking damages from Lanci, who is Italian and currently resides there.
It did not say how much it was seeking. The agreement covering Lanci`s departure had a 12-month non-compete clause, it said.
"We believe Mr. Lanci has clearly breached the terms of the non-compete agreement he entered into willingly," the statement said. "This is about Acer defending a binding legal agreement with its former employee. We are taking legal action against him in order to protect Acer`s rights and interests."
In a separate statement on Wednesday, Lenovo said it did not comment on pending litigation as a matter of policy, but added: "We are confident that our relationship with Mr. Lanci meets all legal requirements."
Lanci said after his departure that he left because the board wanted more focus on operations in Taiwan when he believed the company had to look abroad. Acer`s chairman, JT Wang, responded at the time that Lanci had "hurt company`s business foundation.
More from India
More from World
More from Sports
More from Entertaiment
More from Health
- PM Narendra Modi's speech at Heart of Asia conference
- Is population control next on central govt's agenda after demonetization?
- Gujarat: Goods train engine catches fire in Surat
- India-Afghanistan thrash Pakistan over terrorism issue in Heart of Asia conference
- Watch: Tracing the journey of Tamil Nadu CM Jayalalithaa from films to politics
- RIP Amma: Jayalalithaa dies after 75 days in hospital; Tamil Nadu mourns
- Fake or Real? 'Alien animal' caught on Karnataka-Kerala border
- People want to know whether Jayalalithaa is alive or not; PM Narendra Modi must intervene, says expelled AIADMK MP Sasikala Pushpa
- Tamil Nadu CM Jayalalithaa's condition continues to remain critical after suffering cardiac arrest
- Jayalalithaa's health condition: AIADMK member from Cuddalore dies after seeing news about Tamil Nadu CM's cardiac arrest