Apple’s newly hired iPod chief, Mark Papermaster, a former IBM executive, has been ordered to step down after less than week on the job. A US District Court judge for New York state ruled that Papermaster may be in violation of a non-compete agreement with his former employer.
IBM claims that under the terms of its NCA, Papermaster agreed to avoid working for the competition for at least a year. However, his lawyers argue that working at Apple is a “once-in-a-lifetime 'dream job’”, and that it would’ve been detrimental to Papermaster’s career had he not accepted. He also claimed that he was working in a division outside his “group”, one that would not violate the terms of agreement with IBM.
Papermaster can file an objection by Tuesday. A separate hearing has been scheduled for November 18th.
gmsquires
November 11, 2008 at 2:00pm
Yes Papermaster was asked to step down by the court, but that is dependent on his appeals and CA Supreme Court decisions that do not compete clauses/agreements are not valid in the state of CA even for outside of the state companies such as IBM. I have an idea he will prevail.
