Specialist insurer Hiscox has praised today’s judgement in the Irish courts backing technology company HWM in their defence against claims of copyright infringement and breach of confidence, arguing it a victory for the right of IT employees in Ireland to regard their knowhow and experience as their own intellectual property.
Commenting on the judgement, Ian Birdsey, International Technology Claims Manager from specialist technology insurer Hiscox, who supported HWM in the legal action, said; “We are pleased to have backed a ground-breaking legal case that is likely to set the bar in Ireland for all future intellectual property law and copyright protection cases concerning the software and IT industry.
“HWM were prevented from making their fund administration software a success by the legal actions of a competitor who argued that ex-employees had set up HWM to launch their own competing product, which was alleged to have represented copyright infringement and breach of confidence. These claims led to complex, costly and lengthy litigation which seriously undermined the commercial viability of HWM.
“We have argued that knowhow and experience gained in one job belongs to the employee and it would be an illegal restraint of trade to prevent any employee applying those skills in a new job. When it comes to employment law, this judgement looks set to be a leading authority on non-compete obligations and restraints on trade in terms of what an employee is, and is not, entitled to do when joining a new employer.
“We strongly believed in HWM from the outset and it is crucial that start-up companies in the technology sector are not prevented from launching independently developed products. We hope that this sends out a clear message that technology companies can continue to develop new and innovative products in the knowledge that competitors cannot try to stifle them through the courts. We are delighted that the court has agreed and vindicated HWM who can now make their dynamic business a success.”
Shamus O’Donnell, Managing Director of HWM added: “We are delighted to have won the court’s backing in this crucial judgement which reinforces the freedom of employees in the IT sector to regard their own skills and know how as their own intellectual property and looks likely to be the leading intellectual property software authority in Ireland. Anything less would be a restraint of trade which would seriously damage the vitality and entrepreneurship of Ireland’s technology sector.
“We would like to thank Hiscox for their unwavering support on a point of principle for the IT industry. Ian Birdsey and his colleagues at Hiscox have been behind us every step of the way. They have gone more than the extra mile for HWM and we don’t believe any other insurer would have provided the same level of support and expertise. We would also like to thank for their considerable efforts our solicitors A&L Goodbody, led by John Cahir and our counsel Michael McDowell and Jonathan Newman. Our fantastic staff and loyal clients deserve a special mention for supporting and trusting us in this difficult period.
“This judgement vindicates our position since this process began back in 2007 that we developed ManTra independently as a true ground-breaking and market leading product. We have always considered this litigation to be unfounded and without merit and are grateful we can now move on.”
Source : Hiscox Press Release
