Amazon.com Inc. sued a veteran logistics executive hired by Target Corp. as its chief supply chain and logistics officer to prevent him from revealing trade secrets.
Amazon said in the lawsuit filed this week that the former employee, Arthur Valdez, was in violation of a noncompetition agreement that he signed while working for the company.
Valdez spent 16 years at Amazon as a senior executive in the Seattle-based retailer's operations department overseeing the company's international supply chain expansion.
Target and other major brick-and-mortar retailers are aggressively investing in their e-commerce businesses as they try to catch up with Amazon, which revolutionized online retail through aggressive pricing and speedy delivery.
In announcing Valdez's hiring in February, Target touted his experience, calling him a "seasoned supply chain leader" who was focused on Amazon's international supply chain expansion.
The lawsuit did not specify when Valdez left Amazon. However, Valdez's attorney informed Amazon that he would start at Target on Monday, according to the lawsuit.
"We have taken significant precautions to ensure that any proprietary information remains confidential and we believe this suit is without merit," Target spokeswoman Molly Snyder said.
The lawsuit said Valdez's new role as the chief supply chain and logistics officer at Target would breach Valdez's noncompete agreement with Amazon, which required him not to engage in competition with Amazon for 18 months after leaving the company.