Bengaluru, India – Infosys, a multinational tech company, has filed a legal action in a Texas federal court against US-based competitor Cognizant. Said action was prompted by allegations that the latter engaged in anti-competitive practices and targeted key executives for poaching.
In a recent Reuters report, accusations against Cognizant for anti-competitive behaviour include imposing contractual terms that prevent clients from working with competitors and refusing to provide training on its software.
Infosys has further accused them for allegedly recruiting senior executives, such as the appointment of S Ravi Kumar as its CEO in 2023. According to the Bengaluru-based company, this move has reportedly delayed its ability to advance the development of its competing software, Infosys Helix.
In response, Cognizant said in a statement its intention to take strong action against any allegations, saying, “Cognizant encourages competition, but competitors cannot use Cognizant’s IP to unfairly compete, as Infosys has done.”
The legal dispute began after Cognizant’s subsidiary TriZetto filed a lawsuit against Infosys last August, which accused the company of stealing trade secrets from its healthcare insurance software.
In its complaint, the company stated that Infosys misused TriZetto’s software to create “Test Cases for Facets,” which wrongfully repurposed TriZetto’s data for use in an Infosys product.
Infosys has requested triple the damages it suffered, in addition to legal fees and case-related costs. Said filing also did not reveal the exact number of damages.
