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Since OnX closed its $64 million acquisition of the Technology Solutions Group (TSG) of Agilysys in 2011, Technologent has "improperly solicited, effectively recruited, and hired" at least 18 former OnX USA employees, including senior solutions architects, account executives and managers, according to the lawsuit filing.
OnX USA claims Technologent lured the talent by promising higher compensation and telling them Technologent was poised to outperform OnX in the marketplace, according to the filing.
"OnX USA lost numerous valuable employees, including substantial employee losses in its Irvine office," according to the lawsuit filing.
Neither Technologent nor OnX USA responded to a request for comment on the case. Joseph Chairez, a partner with BakerHostetler and lead attorney in the case, declined to comment when contacted by CRN.
Despite the near-constant legal wrangling over talent recruitment, Geier says the IT industry benefits from these sorts of cases because each court ruling draws a clearer picture of the legalities involved in talent recruitment.
"Over time, as more of these court rulings get handed down, the greedy behavior will happen less frequently," Geier said.
OnX USA, in its lawsuit filing, said it is seeking "actual damages and royalties," punitive damages and a permanent injunction preventing Technologent from hiring OnX employees and soliciting its customers, among other penalties.
"As a direct and proximate result of Defendants' unlawful conduct, OnX USA has been and will continue to be damaged in an amount to be proven at trial," according to the filing.