In the ongoing legal battle between hotel groups Starwood Hotels & Resorts Worldwide Inc. and Hilton Worldwide, further allegations of intellectual copyright have now emerged which implicate the upper echelons of Hilton’s management, according to The Wall Street Journal.
Whilse two former Hilton executives were last year sued for leaking confidential trade information regarding the launch of Starwood’s ‘W’ hotel brand, the case has now escalated to include accusations against Hilton’s McLean, Va chain’s chief executive officer, Christopher Nassetta, and its head of global development, Steven Goldman.
The alleged breach of trade secrets was reportedly to have been condoned by at least half of Hilton’s executive board.
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The chain is yet to release a public statement regarding the case and both Nassetta and Goldman dispute these new allegations.
Hilton and Starwood are currently involved in lengthy discussions regarding compensation, Starwood’s general counsel Kenneth Siegel believes that financial reimbursement is only part of the issue.
Starwood are keen to put in place measures to prevent future breaches.
It is still uncertain whether the accused will face criminal charges, but whatever the final outcome of this case, many believe it is likely to set a precedent within the industry and bring about tighter confidentiality restrictions.
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