Target is the “Target” of an Amazon Lawsuit

Posted by Abul Hasnat Juned.

Mr. Valdez, a veteran logistics executive of Amazon.com, has been sued by Amazon.com because of violating a non-compete clause. That clause prohibits him from joining any rival for 18 months after leaving Amazon. Valdez worked as a senior executive of the operation department in Amazon, whose job was to supervise Amazon’s international supply chain expansion.

Valdez did that for 16 years until he was hired by Target. He was appointed as a seasoned supply chain leader in Target for concentrating on Amazon’s international supply chain expansion. Amazon made allegations against Valdez saying he has shared information in a highly competitive area for both companies, which was about moving and shipping products in the most effective manner.

However, according to Amazon, Mr. Valdez will take advantage of his knowledge of Amazon’s strategy for e-commerce by revealing it to Target. Target is stating that they are very cautious about not getting any proprietary information about Amazon from him. On the other hand, Amazon is saying that trade secrets were shared by him during the interview process.

It is also a matter of fact that Target is trying to improve their e-commerce section. Although Target is behind in the market of e-commerce, it is working to increase its sales and to do that it has signed with an online delivery service Instacart.

Instacart will deliver the Target groceries to the customers in some cities. Information about the time when Valdez left Amazon is not stated in the lawsuit. However, Valdez received the confirmation from his attorney to start at Target from March 28, 2016, according to the lawsuit.

Abul is an accounting major at the Felicinao School of Business, Montclair State University, Class of 2019.