"IBM vs Johnson: Possible Outcomes"

The Deal - May 29, 2009

SULLIVAN & CROMWELL LLP Partner Ted Rogers was quoted in an article in The Deal on the likelihood that IBM Corp. can block, or at least delay, David Johnson, its former vice president of corporate development, from joining Dell Inc., its rival. IBM sued Mr. Johnson, claiming the noncompete agreement he signed in 2005 prevents him from working for competitors. Mr. Rogers noted that while Johnson's one-year noncompete is on the "outer limit" of what New York courts consider acceptable, it's by no means excessive. He also pointed out that if the court rules that Mr. Johnson is allowed to work at Dell, IBM may be motivated to settle quickly, a development that could prove more favorable to Dell.