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Frank Lowe Refutes Allegations, Seeks Apology from IPG

IPG filed a complaint on Friday with the American Arbitration Association against Frank Lowe, claiming that Lowe breached his fiduciary responsibilities to the company and seeking monetary damages; Lowe yesterday issued a statement claiming the allegations are “without foundation and are utterly refuted,” writes Adweek. Lowe is seeking a withdrawal of the complaint and an apology.

 

Lowe, founder and former global chairman of IPG’s Lowe, announced in December that he was founding a new agency. Paul Weinberger, chairman of the London office of Lowe, then resigned his post to become a partner at the new agency. Since then, two other former Lowe London executives - Sam Cartmell and Jason Lawes, a senior creative team - have said they would join the new agency, along with Paul Hammersley, the former CEO of DDB in London.

David Hackworthy, DDB London’s chief strategic officer, resigned his post Sunday night to join Lowe’s new agency, as well, AdAge writes.

IPG, which dismissed Lowe in 2003, believes its claim against Lowe is valid because, even though Lowe’s noncompete clauses expired last year, he still receives a pension that came with a ban on soliciting former clients and staffers. Tesco, an IPG account which is jumping with Weinberger to Lowe’s new agency, spends nearly $80 million a year in measured media.