http://online.wsj.com/article/SB123992288290027113.html
http://online.wsj.com/article/SB124032641110939349.html
I remember thinking 'Wow this is so W.' when I first read promo stuff from Denizen. I mean, both Andaz and Edition, developed by Hyatt and Marriott respectively, seems to have v different feels to them despite having similar concepts to the W. Denizen seems to have an identical flair. Was tempted to stay at Denizen when it opens even but in light of this - maybe not.
Starwood Hotels & Resorts Worldwide Inc. sued Hilton Hotels Corp. late Thursday, accusing its rival of using stolen confidential Starwood documents to develop a new luxury hotel chain.
The lawsuit, filed in federal district court in White Plains, N.Y., alleges that Ross Klein and Amar Lalvani, two former Starwood executives who joined Hilton last summer, stole more than 100,000 electronic and paper documents containing "Starwood's most competitively sensitive information."
"This is the clearest imaginable case of corporate espionage, theft of trade secrets, unfair competition and computer fraud," the complaint alleges.
In addition to monetary damages, Starwood is seeking a court order that could, in effect, force Hilton to cancel the rollout of the Denizen Hotels chain, which it unveiled last month.
...
Messrs. Klein and Lalvani, who were named as defendants in the lawsuit, were president and senior vice president, respectively, of Starwood's luxury-brand group, which includes the company's highly successful W Hotels chain. Both men allegedly played key roles in expanding and managing the brand's image.
According to Starwood's complaint, Hilton began courting the Starwood executives in February and March of 2008. It was at that time, the suit alleges, that Mr. Klein "secretly misused his position" at Starwood to compile and steal confidential information.
The complaint alleges that in their last months at Starwood, the two executives smuggled out thousands of confidential documents via email and in direct shipments from Starwood to their homes and to Hilton.
The lawsuit, filed in federal district court in White Plains, N.Y., alleges that Ross Klein and Amar Lalvani, two former Starwood executives who joined Hilton last summer, stole more than 100,000 electronic and paper documents containing "Starwood's most competitively sensitive information."
"This is the clearest imaginable case of corporate espionage, theft of trade secrets, unfair competition and computer fraud," the complaint alleges.
In addition to monetary damages, Starwood is seeking a court order that could, in effect, force Hilton to cancel the rollout of the Denizen Hotels chain, which it unveiled last month.
...
Messrs. Klein and Lalvani, who were named as defendants in the lawsuit, were president and senior vice president, respectively, of Starwood's luxury-brand group, which includes the company's highly successful W Hotels chain. Both men allegedly played key roles in expanding and managing the brand's image.
According to Starwood's complaint, Hilton began courting the Starwood executives in February and March of 2008. It was at that time, the suit alleges, that Mr. Klein "secretly misused his position" at Starwood to compile and steal confidential information.
The complaint alleges that in their last months at Starwood, the two executives smuggled out thousands of confidential documents via email and in direct shipments from Starwood to their homes and to Hilton.
Federal authorities in New York are investigating allegations that Hilton Hotels Corp. used information taken from rival Starwood Hotels & Resorts Worldwide Inc. to create a new luxury-hotel brand.
Hilton said Tuesday it is temporarily suspending development of its Denizen Hotels, the brand at the center of the controversy, as a precautionary move.
The Beverly Hills, Calif., company said it received a federal grand-jury subpoena Monday from the U.S. attorney's office for the Southern District of New York asking for documents relating to Hilton's employment of former Starwood employees.
...
In addition to suspending the Denizen project, Hilton said Tuesday it has placed the two high-ranking employees named in Starwood's lawsuit, Ross Klein and Amar Lalvani, on paid administrative leave "pending Hilton's review of the situation."
The two men, who joined Hilton last summer, were executives in Starwood's luxury group, which includes the company's highly successful W Hotels brand. Neither Messrs. Klein nor Lalvani could be reached for comment.
Hilton also placed on paid administrative leave its luxury-hotel development team, which includes several former Starwood employees.
Hilton said Tuesday it is temporarily suspending development of its Denizen Hotels, the brand at the center of the controversy, as a precautionary move.
The Beverly Hills, Calif., company said it received a federal grand-jury subpoena Monday from the U.S. attorney's office for the Southern District of New York asking for documents relating to Hilton's employment of former Starwood employees.
...
In addition to suspending the Denizen project, Hilton said Tuesday it has placed the two high-ranking employees named in Starwood's lawsuit, Ross Klein and Amar Lalvani, on paid administrative leave "pending Hilton's review of the situation."
The two men, who joined Hilton last summer, were executives in Starwood's luxury group, which includes the company's highly successful W Hotels brand. Neither Messrs. Klein nor Lalvani could be reached for comment.
Hilton also placed on paid administrative leave its luxury-hotel development team, which includes several former Starwood employees.
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