Indian IT firms are increasingly engaging in legal battles over trade secrets and employee movement as growth slows and AI adoption rises. Key disputes involve major companies like Infosys and Wipro. The focus is on protecting proprietary knowledge and client relationships, with US courts often preferred for their stricter enforcement of non-compete agreements. Gerald (Jerry) Manoharan, Partner, JSA Advocates and Solicitors, said Indian IT is becoming more aggressive in pursuing legal action as it views talent movement and client-facing employee exits as direct competitive risks rather than routine attrition.“The perceived threat is that the movement of senior employees and their teams means the transition of customers to the competition. With senior employees often accessing confidential data, pricing strategies, delivery models, and key customer relationships, companies are seeking to deter alleged misuse of trade secrets and organised talent poaching by rivals. There is also a growing emphasis on enforcing contractual obligations and signalling stronger protection of business know-how and client relationships,” he said. Read more
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