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UPDATE 1-Motorola sues former executive over iPhone job

Fri Jul 18, 2008 8:51pm EDT
 
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(Adds no comment from Apple spokeswoman)

LOS ANGELES, July 18 (Reuters) - Motorola Inc (MOT.N: Quote, Profile, Research, Stock Buzz) has sued a former executive for allegedly violating a non-compete agreement and threatening to reveal its trade secrets by taking a job with Apple Inc's (AAPL.O: Quote, Profile, Research, Stock Buzz) iPhone division, the cell phone maker said in a lawsuit.

Michael Fenger accepted "millions of dollars in cash, restricted stock units, and stock options" in exchange for agreeing not to join a competitor for two years after leaving Motorola, where he oversaw mobile devices in Europe, the Middle East and Africa, the lawsuit said.

He took the iPhone job on March 31, less than a month after leaving Motorola, said the lawsuit filed in Illinois on Thursday.

Fenger, who now serves as vice president of global iPhone sales, also hired away two high-level Motorola employees who have access to Motorola's trade secrets and customer relationships, the suit said.

An Apple spokeswoman said the company had no comment on the lawsuit. Fenger could not be reached for comment.

Motorola, based in the Chicago suburb of Schaumburg, asks the Cook County court to stop Fenger from working for Apple for two years and to bar him from soliciting or hiring Motorola employees or disclosing Motorola's confidential information.

It demands damages and repayment of stock options given to him in exchange for signing the non-compete agreement. (Reporting by Gina Keating; Editing by Braden Reddall)

 

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