NEW DELHI — Mphasis has filed a lawsuit in a U.S. court accusing rival IT services provider Coforge of violating contractual obligations by hiring former senior executives and allegedly gaining access to sensitive client-related information.
According to multiple reports, legal documents filed in March show that Mphasis is seeking an injunction to prevent Coforge from assigning two former Mphasis executives to projects connected to Charles Schwab, a client served by both companies.
Mphasis also asked the court to block any use of confidential business information it claims may have been obtained through the hires.
The lawsuit names former Mphasis Vice President Brijesh Khergamker and seeks to stop him from working on Charles Schwab outsourcing operations through Coforge for one year. Mphasis argues that such work would violate terms in his previous employment contract.
The company also alleges that Coforge gained an unfair business advantage by recruiting several senior employees who had access to strategic and client-specific information.
In addition to injunctive relief, Mphasis is seeking monetary compensation, legal costs and attorney fees.
Coforge has denied the allegations and plans to vigorously defend itself and its employee, according to reports. The company is also evaluating potential counterclaims.
The dispute is the latest in a series of executive hiring and contractual conflicts in the IT services industry. In 2024, Infosys filed a counterclaim against Cognizant alleging anti-competitive conduct and executive poaching. In 2023, Wipro pursued legal action against former CFO Jatin Dalal after he joined Cognizant, alleging violations of contractual commitments. (Source: IANS)
