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EMC Corporation sues its former employees on ‘infidelity’ basis…..!

October 25, 2013

EMC Corporation known for its computer storage and computing products is now said to be on a spree to sue all its former employees who have joined its rival companies. The reason stated for this step of it is said to be pure infidelity. Surprised! ahh….Most of you, who read the title and the initial lines, might be astonished on how a company can sue its former employees on the basis of ‘infidelity’ and why is it first of all interested in their personal lives.

But the point to be specifically noted is that the company is neither interested nor has time to look into the personal lives of its in-house employees and so there is no question of it showing interest in its former employee brigade.

Well, the point of fact is that EMC is suing its former employees on the basis of being unfaithful towards its business  after joining its rival company.

Going into further details, here are some facts which throw some light on this issue. Recently, EMC sued Chadwick Johnson, who was former sales representative and was selling EMC products and services to key strategic customers till a few months ago. Last month, EMC sent a court notice to it’s another former employee Ricky Cochran and now it is the turn of Johnson. In coming days, a larger drama is said to unfold between EMC and several of its former employees each of whom have resigned to join its direct competitor Pure Storage. Almost 19 former sales representatives of EMC will receive court notices in connection with this issue and as of now, EMC plans to sue only those who have joined Pure Storage.

The company claims that all its former employees who have joined Pure Storage are leaking out its business plans, strategies, confidential information of its gigabit per dollar rate, customer and partner lists, marketing strategies, product development plans, product offerings, pricing structures, solicitation methods, sales strategies, and other confidential information. The company claims that its former employees are playing nasty games with the encouragement of Pure storage and are trying to hijack its user market in and around United States, Europe, Middle East and Asia’ continents.

EMC’s legal representative revealed that the company has substantial evidence to prove that all its former sales representatives who joined Pure Storage have till date diverted 178 sales leads through black hat sales techniques and have caused a huge financial loss to its former employer this year. The representative added that EMC was presently busy on probing the issue further and so the exact figure of its loss cannot be made public. Moreover, EMC is also planning to sue Pure Storage in coming months for coaxing its former employees with some smart perks and diverting all its sales and marketing strategies in order to sustain in business.

Adding to the agony, EMC has come up with some valid facts that Johnson used the data of his former company to acquire knowledge of ongoing and potential customer relationship, projects and the key decision makers within those organizations, such as CIO, Director of Infrastructure, Purchase managers etc…. and earned gold to Pure Storage. EMC has enough evidence that Pure Storage used all this data in influencing the decision makers of many organizations and has successfully replaced all EMC products with its product line.

Well, there might be some truth on EMC’s allegations on its former employees who joined Pure Storage. As the latter has always cited EMC as its major competitor in all its public interviews and media publications and so there is a chance that all these allegations vetted by EMC might turn true when case proceeds further.

What is Storageservers analysis on EMC’s war on Pure Storage -

  • From EMC’s point of view- Looking at the ongoing developments, there is a possibility that EMC is not going to take this issue lightly and will further try to corner its former employees who joined Pure Storage with all kinds of legal hassles.
  • From Pure Storage’s point of view- Nothing can/will deter it from prevailing in the present data storage market, until all the allegations are proved as genuine in court.
  • From EMC’s former employee’s point of view- Johnson has made it crystal clear that he has not done anything wrong and his innocence will soon be proved in court. Johnson is also in plans to counter sue EMC for ruining down his image in Public and causing inconvenience and shame to his professional and personal life.

For more details, here is a PDF document released by EMC on this issue

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