Former Ford European Head Can Seek Job
DETROIT (AP) -- A federal judge has concluded that Ford Motor Co. fired a former head of its European operations, allowing him to seek employment with other automakers despite a non-compete clause.
The clause, which says executives can't join another automaker within two years of leaving Ford, applied only if Martin Leach resigned, which Ford said he did in August.
Leach, who sued the nation's No. 2 automaker last fall, said Ford fired him after he told his bosses that Fiat Auto had offered him a job as chief executive. Fiat withdrew its offer after Ford filed suit in a German court.
U.S. District Judge Paul D. Borman sided with Leach and issued an injunction Friday preventing Ford from enforcing the non-compete clause in his case.
"Ford's public pronouncement that it would seek legal action against Leach and any competitor that tried to hire him has effectively rendered Leach unemployable in the automotive industry," Borman said. "The court finds that Leach will suffer irreparable harm if the injunction is not issued."
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Leach doesn't have a job lined up and likely will seek monetary damages from Ford, Leach spokesman David Rigg told the Detroit Free Press in its Saturday editions.
Ford spokesman Ken Zino said "the matter is under review" by Ford.
Leach, like other Ford executives, had received one year's worth of salary in restricted stock in exchange for signing non-compete agreement.
Copyright 2004 Associated Press. All rights reserved. |
