Toronto Ontario - A legal dispute between Canada's two biggest railroads is set to go to trial Tuesday amid allegations that one of Canadian Pacific Railway's top executives encouraged a former Canadian National Railway employee to share details about rival customers.
 
CN and CP are scheduled to meet in a Toronto courthouse Tuesday over allegations that two former CN account managers, now working at CP, shared "confidential" details about customers contracts with their new employer, according to a CN court document filed Monday with the Ontario Superior Court of Justice.
 
CP said it will defend itself against the allegations.
 
"CN's efforts to smear the reputation of CP, its senior management, and its other employees, are beyond reprehensible and will be vigorously defended," CP spokesman Martin Cej said.
 
A spokesman for CN declined to comment because the matter is before the courts.
 
The two railroads are long-standing rivals but executive poaching by CP from CN's ranks has heightened tensions.
 
Since CN's former Chief Executive Hunter Harrison took over the helm at CP in 2012, a number of his former lieutenants have followed him including senior executive Keith Creel.
 
The lawsuit also comes at a time when both railroads are fighting to win business in Canada's highly lucrative container shipping industry which has recently been a steady revenue driver for both companies amid a slowdown in commodity shipments.
 
CN alleges two account managers, Derek Ackford and Greg Shnerer, downloaded CN's customer details to hard drives, and later widely circulated to CP managers and executives.
 
A lawyer for Mr. Shnerer declined to comment because it is before the court.
 
A lawyer for Mr. Ackford couldn't be reached.
 
CN's claim alleges CP's president Mr. Creel was aware of the secret information and encouraged Mr. Ackford in a 10 Apr 2015 text message to share "relative facts" about its arch rival's customers.
 
"No restrictions. It's a competitive world. Free market. Just don't give out any old CN documents," Mr. Creel's message said.
 
Filing of the new documents come after CN filed its initial statement of claim in August, seeking in part 2 million dollars in damages as part of the lawsuit.
 
Ben Dummett and David George-Cosh.