Already suing the current CEO of Howden US and others, all former employee, for breach of various employee contracts, broker Marsh has filed a new lawsuit again another group of former employees now at Howden US.
The lawsuit filed Nov. 3 by Marsh USA in U.S. District Court for the Southern District of New York goes after seven former employees—Alfred Gronovius, Andrea Amodeo, Carlos Serio, Giovanni Perez, Janette Wilcox, Nathan Collins, and Richard Lennerth—and alleges a “concealed scheme” to leave Marsh, and theft of trade secrets, confidential information, and clients.
“Acting together, the defendants enabled Howden to enter the U.S. market overnight with a fully staffed workforce and book of business built on decades of Marsh investment and work,” Marsh said in the suit.
Howden US, a new U.S. retail broking business of Howden, began operations several months ago. At the same time, Marsh USA sued senior leaders including current Howden US CEO Michael Parrish as well as Giselle Lugones, Robert Lynn, and Julie Layton. The group “spearheaded an unlawful scheme to lift out all of Marsh’s Florida zone employees,” according to Marsh, who further alleged the plan was started once Howden failed to acquire Risk Strategies, so it poached Marsh employees “rather than investing the time and resources to build a U.S. presence.”
Related: Parrish Named CEO of Howden US, Is Sued by Former Employer Marsh
The seven new employees sued by Marsh were also senior personnel at Marsh’s Florida zone. Their involvement was revealed during an ongoing investigation, Marsh said. Each reported directly or indirectly to Parrish. During the weeks prior to what Marsh termed as a “raid,” the seven employees “engaged in turncoat conduct designed to benefit Howden at Marsh’s expense.” The group solicited employees to leave with them and printed or electronically transferred trade secrets and confidential information, Marsh claimed in the suit.
“Several defendants also deleted a significant amount of Marsh’s documents on their way out the door, an attempt to conceal from Marsh their disloyal service, deprive Marsh of its property, and sabotage Marsh’s business by obstructing its ability to compete fairly in the market,” according to Marsh in the lawsuit. The broker additionally alleged the former employees solicited clients and at least one continues to service a client he formerly had at March, which is in violation of an employee contract.
Meanwhile in the Parrish case, the court in September granted Marsh a preliminary injunction. Parrish, Lugones, Lynn, and Layton are prohibited from soliciting employees to leave Marsh, soliciting clients of prospective clients, or using confidential information and trade secrets of Marsh.
According to records, the court found that Marsh “demonstrated a likelihood of success on the merits that the defendants breached contractual obligations set forth in the restrictive covenant agreements,” and that Marsh “demonstrated irreparable harm in the absence of an injunction, and a balance of equities in its favor.” Here, Howden US has an outstanding motion to intervene in the case, and there is also a motion from the defendants to dismiss.
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