Noncompete News: Georgia Court uses Restrictive Covenant Act to Blue Pencil Nonsolicit Agreement

more+
less-

In the first published decision applying Georgia's new Restrictive Covenants Act ("RCA"), the federal district court for the Northern District of Georgia "blue penciled" or modified an otherwise overbroad nonsolicitation of customers provision.

In PointeNorth Insurance Group v. Zander, Zander, an insurance broker, signed a nonsolicit and nondisclosure agreement on May 11, 2011 (ironically, the same day the legislation curing any constitutional defect in the RCA became effective). In September 2011, Zander resigned and created a competing insurance company. When Zander sent an e-mail to people that may have included some of PointeNorth's client, PointeNorth sued.

The nonsolicit at issue stated that Zander, for a 2-year period post employment "will not solicit, accept or attempt to solicit or accept . . . business from any of the Employer's clients . . . with whom Employee had any contact or who were clients of Employer within three months immediately preceding such termination of this Agreement."

Please see full newsletter below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

more+
less-

FordHarrison on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×
Loading...
×
×