Starwood Hotels and Resorts Worldwide has filed a lawsuit against Hilton Hotels Corp., alleging that two of its top executives stole confidential and proprietary information used to launch Hilton into the lifestyle-hotel market.
Starwood has seven properties in the Denver area under the Westin, Sheraton, Four Points and aloft names. Hilton has four under the Hilton Garden Inn and Homewood Suites brands.
The lawsuit, filed in U.S. District Court in New York, claims that Ross Klein, global head of Hilton Luxury and Lifestyle Brands, and Amar Lalvani, global head of Hilton Luxury and Lifestyle Brand Development, pilfered more than 100,000 electronic files from Starwood when they were recruited to Hilton in June 2008.
Those included confidential information on Starwood’s luxury and lifestyle brands, step-by-step details on how to convert a hotel property to a luxury lifestyle hotel and contracted marketing and demographic studies.
That information was used to launch Hilton’s Denizen brand in nine months, the suit argued. Starwood took three to five years to launch its W brand.
Hilton, in a statement, said it “believes this lawsuit is without merit and will vigorously defend itself.”
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