Mphasis Sues Coforge and Ex-Employee Over Breach of Contract and Data Misuse
Mphasis Sues Coforge, Ex-Employee Over Contract Breach

Blackstone-backed Mphasis has filed a lawsuit in a US court against IT firm Coforge and former employee Brijesh Khergamker, alleging breach of contract and misuse of confidential information. The legal action seeks to protect Mphasis's proprietary data and client relationships.

Details of the Lawsuit

Mphasis is seeking injunctive relief to bar Khergamker, for one year, from working directly or indirectly on its key financial services client, the Charles Schwab account, through Coforge or its affiliates. The company also wants to prevent Khergamker from soliciting Mphasis clients or employees. Additionally, Mphasis has asked the court to restrain the use or disclosure of its proprietary information and to ensure the immediate return of any such material in the defendants' possession.

TOI has reviewed the complaint. Coforge told TOI that it is evaluating potential counter claims in the matter.

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Context and Precedent

The Mphasis case comes two years after Wipro sought Rs 25 crore in damages from its former CFO Jatin Dalal for breach of contract after he joined Cognizant immediately after leaving the company. This highlights ongoing concerns in the IT industry regarding non-compete clauses and protection of sensitive information.

Mphasis, backed by private equity firm Blackstone, is a leading IT services provider. The lawsuit underscores the importance of safeguarding client accounts and intellectual property in the competitive IT outsourcing sector.

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