CME Group Inc., the owner of the world’s largest derivatives marketplace, sued former Managing Director Laurent Paulhac for breach of contract, seeking to block him for a year from becoming chief executive officer of ICAP Plc’s swap-execution facility.
CME claims in the lawsuit, filed in state court in Chicago, that it negotiated an agreement that would let Paulhac join ICAP’s global executive management team as of Dec. 2, while barring him from day-to-day activities until April 1, 2014.
On Dec. 16, CME learned that “Paulhac was acting in violation of this agreement, as well as his underlying employment agreement, and is, in fact, directly involved in the day-to-day activities of ICAP’s SEF and strategies related thereto,” according to the complaint.
CME claims Paulhac breached the letter agreement over his employment at ICAP, as well as his employment contract at the company. It asks a judge to bar his work at ICAP for 12 months and award unspecified compensatory and punitive damages.
Paulhac’s attorney, Margaret E. Murray, didn’t immediately return a call seeking comment on the suit.
The case is CME v. Paulhac, Circuit Court of Cook County, Illinois (Chicago).