General Business Labor & Employment Civil Remedies

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Massachusetts Federal Court Refuses to Transform Non-Disclosure Agreement into a Non-Competition Agreement

A recent decision from the Massachusetts federal district court serves as a good reminder to Massachusetts employers that courts are unlikely to view the breach of a non-disclosure/confidentiality agreement as justification...more

The Construction Advantage – Issue 6

In our sixth issue of The Construction Advantage, we provide you with an all New England edition, focusing on the increased employment in the construction sector in Maine, a large court award related to the Big Dig, and the...more

Using Non-Competes When Greater Employee Responsibility = Greater Protectable Interest

Many employers require new hires to sign non-compete agreements and we have advised previously about best practices for employers to refresh their non-compete terms on a regular basis. A recent decision by a Maryland federal...more

Focused on Franchise Law - June 2014

FRANCHISEE 101: Unsigned Franchise Agreement Binds Franchisee's Shareholder - Texas Appeals Court recently held in Pritchett v. Gold's Gym Franchising, LLC that a Texas forum-selection clause in a Franchise Agreement...more

Musicians in the theatre production ‘War Horse’ lose their legal bid

Musicians employed by the National Theatre in its production of War Horse at the New London Theatre have been refused their application for an interim injunction, or alternatively specific performance, to require the National...more

Damages for Breach of a 12-Month Non-Compete Covenant

In Merlin Financial Consultants Ltd v Cooper [2014] EWCH 1196, the High Court awarded damages to an employer where the employee had breached a 12-month non-compete covenant in a business (rather than employment) agreement. ...more

Companies Acquiring Unionized Businesses Face Increased Scrutiny by the NLRB

Companies acquiring unionized businesses are likely to face increased scrutiny from the National Labor Relations Board (“Board”). On May 9, 2014, NLRB General Counsel Richard F. Griffin, Jr., issued a memorandum instructing...more

My Non-Compete, Your Salary: Words Of Caution For Business Owners And Employees

Without the ability to enforce it, a non-competition agreement can turn worthless, or ? perhaps far worse ? extremely expensive for an employer whose chooses to file litigation against a former employee. One area that can...more

Texas Supreme Court Limits Fraud Claims by Terminated Employees

In a case of first impression, the Supreme Court of Texas declared that at-will employees may not bring an action for fraud that is contingent on the promise of continued at-will employment. The Court also held that...more

Civil Contempt Only Applies if Party Violates Explicit Terms of Order

Energy Recovery, Inc. v. Hauge - Addressing a civil contempt order under an abuse of discretion standard, the U.S. Court of Appeals for the Federal Circuit found in that a former employee was not in contempt because he...more

Contract Requiring Ex-Employee To Compensate Former Employer For Competing Ruled Enforceable In British Columbia

A recent decision of the B.C. Court of Appeal has endorsed a novel approach to post-employment competition by upholding an employment contract whereby the employee was required to compensate the employer if she competed soon...more

What to Do When Your Client’s COO Becomes Your Competitor’s BFF

One of your most important clients just called. She reports that one of her senior sales people quit a few months ago, and she just learned that the sales person has joined a large competitor. Panicking, your client wants to...more

Fairfax Circuit Court Strikes Down Noncompete as Overbroad, Offering Yet Another Lesson for Employers

On March 6, 2014, a Fairfax Circuit judge denied a preliminary injunction in a suit brought by Wings LLC to enforce a noncompete against two defector employees. In a letter opinion, Judge Bruce D. White said the noncompete...more

California Court of Appeal Holds Employer Cannot Shorten Statute of Limitation on California Discrimination and Retaliation Claims

Can employers enter into binding agreements with employees to shorten the statute of limitations on discrimination and other employment claims? A California Court of Appeal decision answered that question with a resounding...more

Would Texas Law Support Disgorgement of Payments When Plaintiff’s Daughter Makes Comments On Facebook?

In a case that received national attention, on February 26, 2014, a Florida District Court of Appeal held that a plaintiff’s comments to his daughter regarding a settlement with his former employer and his daughter’s...more

Proxy Season Litigation Primer: Defending Shareholder Suits to Enjoin Annual Meetings for Allegedly Inadequate Disclosures...

Over the past few years, as plaintiffs have found it increasingly harder to succeed in “say-on-pay” litigation, another type of litigation over proxy disclosures has been on the rise. These cases are generally brought as...more

Can You Keep a Secret? Confidentiality Clauses in Settlement Agreements Are For Real

If a party to a confidential settlement agreement blabs about the settlement, could the party lose some of the benefits of the settlement? A recent Florida appellate decision is a good reminder to think carefully about the...more

Did You Know...An $80,000 Facebook Post Costs $80,000

When does a confidentiality provision in a settlement agreement mean what it says? What if you tell your children about your confidential settlement and they post about it on Facebook? Well, here is what just might happen...more

“Entirely Comfortable” With a “Monster”: A Striking Decision From an Unlikely Source About Excessive Fines Under the FCA

As we have discussed before, whistleblower and retaliation decisions—including from the Supreme Court of the United States—have created an increasingly whistleblower-friendly body of law that unifies courts across the...more

Announcing a Job Move on LinkedIn or Facebook - Breach of Contract or Fair Game?

It is always worthwhile to talk about current developments in the area of social media and employment law, and to look back at their contextual import. Much of the fun, however, lies in playing the forecasting game, and...more

Not Settling for Less: The EEOC’s Latest Challenge to Employee Releases

The Equal Employment Opportunity Commission (“EEOC”) recently filed a “pattern or practice” lawsuit against CVS Pharmacy, Inc., alleging that CVS uses an “overbroad, misleading and unenforceable Separation Agreement” that...more

With Tax Season Looming, Appellate Division Refuses to Find Duty to Defend Against IRS Action

In William B. Kessler Memorial Hosp., Inc. v. North River Ins. Co., 2013 WL 6036678 (N.J. Super. Nov. 15, 2013), the Superior Court of New Jersey, Appellate Division, rejected the notion that an insurer’s promise to “defend...more

The Devil Is In Those Details: Supreme Court Holds That the Clock for the Appeal of an ERISA Decision Began Running Sooner Than...

The U.S. Supreme Court has ruled that the plaintiffs, a group of union-affiliated employee benefit funds (the Funds), waited too late to give notice of their appeal from the trial court’s judgment on the merits of their case...more

Validity And Enforceability Of Seaman’s Release

The recent ruling in Double J. Marine, LLC v. Matthew Nuber, No. 13-5825 (E.D. La. Dec. 11, 2013) serves as a key reminder that employers need to be mindful that courts scrutinize release agreements as seamen are the wards of...more

Send a non-compete demand letter – buy yourself a lawsuit?

When employers seek injunctive relief to enforce a restrictive covenant, nearly every judge begins the injunctive hearing with the same question: What efforts did you make to resolve this matter? Judges encourage settlement;...more

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