Former Employee

News & Analysis as of

In 10-1 Verdict, Jury Finds No FCA Violation by Abbott Laboratories

On April 7, 2016, after just three hours of deliberations following a three-week trial, a federal jury dismissed False Claims Act (“FCA”) claims against Abbott Laboratories brought by a whistleblowing former employee.  The...more

New Utah law limits use of noncompetition agreements

Many employers are confronted by the problem of former employees using company information or relationships they had access to or developed during their employment. Employers have sought protection by having employees agree...more

Whistleblowers Suffer Another Implied Certification Theory Defeat — But Supreme Court Showdown Looms

Adding its voice to an issue soon to be argued before the Supreme Court, an Alabama federal court recently dismissed a False Claims Act (“FCA”) complaint, holding that complying with a federal disclosure regulation was not a...more

New Utah Law Limits Restrictive Covenants to a One-Year Period

On March 9, 2016, Utah enacted the Post-Employment Restrictions Amendments, which limits restrictive covenants to a one-year time period from termination. Any restrictive covenant that is entered into on or after May 10,...more

Breaking up is hard to do

So, your star employee has resigned. What happens next can be crucial for your brand. The way a business responds to the resignation of a star employee is a touchstone of successful HR leadership. Employees, competitors,...more

Utah Passes Bill Regulating Non-Competes

After heated debate between legislators and among the business community, the Utah state legislature has passed HB 251, the Post-Employment Restrictions Act. As passed, the Act prohibits “post-employment restrictive...more

Ex-Employee Hit With Six-Figure Judgment For Violating His Non-Competition Agreement By Helping His Son Compete

A long-running non-compete clause dispute has reached the Louisiana Court of Appeal three times. Last month, the court affirmed a $600,000 judgment, plus attorneys’ fees and costs, against an ex-employee who assisted his...more

Social Media Fail: Sometimes Even Employers Memorialize Bad Decisions on the Internet

Don’t deny it: you scroll through your social media feeds past the mundane photos, click-bait, and “humble brags” in search of explosive drama. Eventually, you might land on a status update from one of the reliable...more

OCR for the Win: Lincare, Inc. HIPAA Enforcement Action

For the second time in history, on January 13, 2016, an Administrative Law Judge (ALJ) upheld the imposition of civil money penalties charged against a covered entity by the Office of Civil Rights in the Department of Health...more

Is the Washington Legislature Caching Out Noncompete Agreements? How This Change Might Affect Your Ability to Protect Your...

For tech giants like Microsoft and Amazon, and any number of emerging tech companies, tech professionals are a hot commodity in the state of Washington. No doubt, the competition is fierce here in Seattle and within the...more

Employers Generally Do Not Owe Fiduciary Duties To Employees

In Espinosa v. Aaron’s Rents, Inc., a former employee sued his former employer for defamation and other torts related to the defendant reporting the plaintiff to the police for alleged theft. No. 01-14-00843-CV, 2016 Tex....more

S.D.N.Y Dismisses Former Employee’s SOX and Dodd-Frank Whistleblower Claims

The U.S. District Court for the Southern District of New York recently granted a motion for summary judgment dismissing a plaintiff’s SOX and Dodd-Frank whistleblower claims. The court ruled that the plaintiff failed to...more

Cybersecurity and Data Privacy and E-Discovery and Information Management: Second Circuit Draws Line Between Employees and Hackers...

Employers in New York face a heightened hurdle to holding employees legally accountable for theft and other misuse of company data after the Second Circuit’s recent decision in United States v. Valle. The Court has held that...more

Illinois Supreme Court Decision Bars Employee from Bringing a Direct Civil Action against Employer for Alleged Asbestos Exposure...

In Folta v. Ferro Engineering, Ill.S.Ct. Docket No. 118070, Nov. 4, 2015, the Illinois Supreme Court reversed an Illinois Appellate Court decision and held that a personal injury and subsequent wrongful death suit brought on...more

“Reasonable Suspicion” of Trade Secret Misappropriation Isn’t Always Enough

Though an employer may be eager to bring a trade secret claim against former employees as soon as possible, filing suit before properly vetting the claim can lead to serious consequences: a malicious prosecution case against...more

Will The CFAA, An Old Anti-Hacking Law, Apply To Password Sharing?

David Nosal, an ex-employee of Korn Ferry International (“KFI”), convinced some of his former colleagues to download source lists from KFI using their log-in credentials and the log-in credentials of another employee. In...more

T.J. Simers Discrimination Trial: At Last, The “Ethical Breach”!

Last week, I mentioned that I still didn’t really understand what “ethical breach” Mr. Simers had allegedly committed, and I threw out a request for help from someone (anyone?) with a media background....more

Disgruntled Former Tribune Company Employee Who Aided Hacking Convicted; Could Face Jail Time

On October 7, 2015, former Tribune Company employee Matthew Keys was convicted of three felonies stemming in part from assistance he provided to the hacking collective Anonymous to alter content on the LA Times’ website. ...more

T.J. Simers Discrimination Trial: “He Lied, And He Went Too Far!”

Mr. Simers’ attorneys called at least two Times executives to the stand this week as adverse witnesses. One, who was the newspaper’s Human Resources director in 2013, testified that Mr. Simers lied when he told Times...more

It Can Be A Tough Road For Trade Secrets Plaintiffs In The NC Business Court

If you are a regular reader of this blog, you know that litigating a trade secrets case in the Business Court can be tough. Last year, the Court barred a plaintiff from engaging in any discovery at all until it identified...more

Good News for Employers: Requiring an Employee to Pay Back Salary is a Possible Remedy Against Disloyal Employees

On September 22, 2015, the New Jersey Supreme Court held that employers may recoup salary from disloyal and recently terminated employees even when the employer has not suffered any economic loss. In Kaye v. Rosefielde, the...more

Pennsylvania Federal Court Finds Standing in Data Breach Class Action

The debate over standing in data breach litigation is gaining more attention lately. While many courts have hesitated to find standing prior to lost personally identifiable information (PII) actually being misused, the U.S....more

Mintz Levin Health Care Qui Tam Update: Recently Unsealed Whistleblower Cases: October 2015

Trends & Analysis: ..We have identified 15 health care–related qui tam cases that were unsealed since our last Qui Tam Update. Of those, 12 were filed from 2012 to the present. All but two cases had been pending more...more

Reducing Your Company’s Exposure to Trade Secret Litigation when Key Employees Come and Go

THE NIGHTMARE SCENARIO - Within the span of two weeks, Mr. Smith and Mr. Wilson, two top managers from your $2 billion corporation, resign. Both managers had complete, unfettered access to your corporation’s trade...more

Getting Your Money Back: New Jersey Employers Can Disgorge A Disloyal Employee’s Salary

In a recent ruling, the New Jersey Supreme Court gave employers a great recourse for dealing with former employees who breach their duty of loyalty. In Bruce Kaye v. Alan P. Rosefielde, the Court allowed an employer to...more

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