HP Sues Hurd For Having Secret Affair With Oracle

Life is hard for Hurd. Mark V Hurd, ex-HP CEO and Chairman is facing a lawsuit filed the company he used to lead, around a secret affair of a different kind.

In the previous case Hurd was accused of having an affair with a contractor and making inappropriate payments from the company. This time, the accusation is that Hurd may share HP's 'trade secrets' with Oracle.

Worried over the severity of this non-sexual Oracle-Hurd affair, HP has filed a civil complaint in the California Superior Court against Hurd. HP has asked the court to block Hurd from joining Oracle as it would give Oracle access to HP's strengths and weaknesses in the areas where the two companies compete.

In case of HP vs Hurd, the odds are against HP as California doesn't entertain the notion of 'disclosing one company's trade secrets and confidential information to others'. The policy of the state allows employees to join any company to betters use their area of expertise.

HP and Oracle are partners as well as competitors. Post Sun acquisition, Oracle is more of a competitor than a partner as it now competes with HP in some core spaces.

Additionally since HP was acquiring accounts Sun used to hold in the UNIX space, Hurd might be extremely valuable for Oracle to not only bring back old Sun customers but also spot weak point at HP and get an edge over it. Hurd was not just yet another employee at HP, he was 'the' head.

Oracle would have never prophesied that he will get the 'head' who lead the competition which Oracle needed the most post Sun acquisition.

It wasn't Oracle or Hurd who planned this affair. Hurd was 'forced' to quit HP post an investigation into sex-scandal. Hurd and Oracle chief Larry Ellison are close friends and Larry criticized HP's broad for expelling Hurd. HP and Oracle are now heading towards a rough road of relationship with Oracle sitting on a bigger product portfolio.

Hurd might have been Oracle's friend at HP which kept the two companies from stepping on each other's toes. Post this lawsuit, expect a fierce battle between the two companies. Mr Ellison may give HP a hard time. He is one of the few CEOs who founded the company and are quite personal about it, another one being Steve Jobs.

Oracle's anger can be seen in Larry's statement, "The HP Board is making it virtually impossible for Oracle and HP to continue to cooperate and work together in the IT marketplace."