Moët Hennessy and its former finance chief are embroiled in a legal dispute after the drinks company accused him of violating a non-disclosure agreement by allegedly leaking internal information related to a sexual-harassment case.

Mark Stead signed the NDA in July 2024 as part of a settlement agreement following his dismissal for alleged expense abuses, including a stay at a luxury hotel in New York. The settlement included severance benefits and required Stead to adhere to strict confidentiality and non-disparagement terms.

The company has since alleged that Stead provided confidential details to news outlet La Lettre in relation to its handling of a complaint filed by Maria Gasparovic, a former colleague and senior manager. During a hearing in Paris on Friday, Moët Hennessy’s legal representative claimed that the September 2024 article published by La Lettre contained information that could only have come from Stead.

Stead’s attorney, Eric Charlery, denied the allegations and described the dismissal as “a ploy,” arguing that the legal proceedings were intended to punish Stead for supporting Gasparovic. Charlery has asked the court to annul the NDA, which he claims prevents his client from speaking out about the harassment allegations affecting his partner. Stead is also pursuing claims for unfair dismissal and damages, with a total compensation request that may exceed €4 million ($4.7 million).

Charlery stated that Moët Hennessy escalated the situation by publicly accusing both Stead and Gasparovic in La Lettre of attempting to blackmail the company into a larger financial settlement. He argued that the accusation damaged Stead’s reputation and constituted a breach of the settlement’s non-disparagement clause.

“Mark Stead is now a pariah,” Charlery told the tribunal. “When a company run by Bernard Arnault accuses you of blackmail, word gets around.”

Moët Hennessy initially filed a lawsuit seeking €135,000 from Stead for breaching the settlement. The company has also filed a defamation complaint against Gasparovic.

The case comes amid a series of legal disputes at LVMH Moët Hennessy Louis Vuitton SE, the parent company of Moët Hennessy. The group has undergone a management reshuffle and staff reductions. In a separate case, a former digital sales executive recently sought €1.7 million in damages, alleging that he was dismissed for reporting sales to Russia that evaded sanctions. Gasparovic is also pursuing her own legal action against the company, which has, in turn, filed a defamation countersuit.

Charlery said that Stead had agreed to the NDA “to have peace,” but noted that the conflict has continued and Stead is now facing difficulties finding a comparable senior finance role.

LVMH did not respond to a request for comment. Charlery declined to comment further outside the courtroom. A ruling in Stead’s case is expected on Nov. 19.