A front page story in the June 14 Wall Street Journal details a legal battle between Iron Mountain Inc., Boston, and a former board director who allegedly violated his non-compete agreement.
The extensive feature relates the records management company’s legal battles against former board director Peter Pierce, who joined Iron Mountain board after his own company was acquired by the publicly traded consolidator.
Iron Mountain contends that Pierce worked with family members and former co-workers to form Sequedex, a records management firm that attempted to compete with Iron Mountain in the records management business in the eastern U.S.
A lawsuit filed by Pierce contends that Iron Mountain invaded his privacy and used questionable tactics in its investigation of Sequedex and Pierce’s alleged non-compete clause violations.
The feature notes that an arbitrator ruled that Pierce did not technically violate his non-compete clause, although the arbitrator did find aspects that “come close to a violation of the spirit” of the non-compete agreement, according to the Wall Street Journal.