IBM receives damages from Plasmon

Storage vendor pays Big Blue undisclosed sum after CEO violated Holder Agreement by poaching staff

Storage archiving vendor Plasmonhas reached a settlement agreement with IBM, which includes an undisclosed amount of damages relating to Plasmon’s chief executive Steve Murphy poaching IBM employees.

Murphy entered in to a Holder Agreement with Big Blue in 2007 when the vendor acquired the company he headed up, Softek. The agreement contained provisions prohibiting Murphy from soliciting and hiring certain IBM employees after he left Big Blue.

However, after he departed IBM to join Plasmon, Murphy engaged in conversations with and offered employment to several IBM employees who were previously employed by Softek – thus violating his Holder Agreement.

David Johnson, vice president for corporate development of IBM, said: “IBM is pleased that it could resolve this dispute amicably.

“IBM takes these matters seriously and will strictly enforce its legal rights as set forth in the Holder Agreements it enters into with executives of acquired companies.”