Practice management software vendor Solution 6 has won some breathing space in the US after winning an interim injunction against former finance director Tom Montgomery in the Dallas District Court.
Montgomery, finance director under former CEO Chris Tyler, was previously a partner in an accounting firm named Montgomery Baggett Drews. The firm was purchased by Solution 6 for $8.4 million in October 1999, with a non-compete clause preventing Montgomery and his partners from setting up a rival firm in the event of their exit from Solution 6.
Montgomery left the vendor during the Chris Tyler exit saga and set up another accounting business in Dallas, USA, in direct competition with Solution 6's wholly owned accounting practice, BDA&K. Subsequently, Solution 6 began legal action at the end of last year.
The interim injunction obtained today prevents Montgomery from competing until May 2002, when a full hearing is set. In the meantime, March 30 has been set as a date for the two parties to argue the scope of the injunction.
"Montgomery has suggested the injunction should only apply to Dallas or a small group of states, but we would argue it should be for the entire USA," said Solution 6 company secretary, Steve Alperstein. "I don't think it would be reasonable to confine it to Dallas, we both have clients all over the country."Photograph: Solution 6's Steve Alperstein