Companies

Both sides sue over Dow sackings

Dow Chemical is being sued over its sacking of two officials for allegedly being in “unauthorised discussions” about the sale of the business.

J Pedro Reinhard, a senior adviser at the time of his sacking and Dell’s one-time chief financial officer, has filed a suit alleging libel and breach of contract against both Dell and the company’s chairman and chief executive, Andrew Liveris.

Reinhard is seeking at least $75m in damages and has said: “I am deeply saddened to have to file a lawsuit to clear my good name and restore my reputation against a company to which I devoted 37 years of loyal service”.

Meanwhile, Dow has brought its own legal action against Reinhard and Romeo Kreinberg, a former vice president, for breach of fiduciary duty and breach of contract, and is seeking the return of three years of deferred stock awards and millions of dollars in stock options (Houston Chronicle, 9 May).

June 2007