Former Employee

News & Analysis as of

Former Harvard Professor Files Title IX Lawsuit After Being Denied Tenure

Over the past year, an exceptional number of colleges and universities have been accused by both complainants and accused students of mishandling complaints of sexual misconduct in violation of Title IX. Now, in a somewhat...more

Protecting Trade Secrets Insufficient to Enforce Covenant Not to Compete in Any Capacity Worldwide - NanoMech, Inc. v. Suresh

Addressing the enforceability of a non-compete agreement to protect trade secrets, the U.S. Court of Appeals for the Eighth Circuit upheld a ruling finding that a non-compete agreement which prevented the employee from...more

Former Customers as a Legitimate Business Interest?

When do former customers constitute a legitimate business interest? In a sale of business context, the short answer is, “Pretty much all of the time.” The purchaser of assets and goodwill of a business can, by...more

Employment Settlement "Don't Reapply" Clauses Threatened by Ninth Circuit Expansion of California's Business and Professions Code...

Settlements of most employment claims include the employee’s promise not to reapply to the settling employer. The reason is if the employee reapplies after getting the settlement money and is then denied new employment, the...more

Navigating Non-Competes When a Worldwide Presence Is the New Norm

Businesses that compete globally are once again reminded of the need to avoid overreaching when requiring employees to sign non-compete agreements. Earlier this year, the Court of Appeals for the Eighth Circuit affirmed a...more

DOJ Charges Former Federal Agents with Bitcoin Wire Fraud and Money Laundering

On March 30, the DOJ filed a criminal complaint against two former federal agents on charges of wire fraud and money laundering of digital currency stolen during the investigation of Silk Road. According to the DOJ, both...more

Social Media in the Context of Post-Employment Litigation

At the frontier of post-employment litigation is the issue of how to address social media contacts and communications. To date, while courts in other jurisdictions, such as California and Colorado, have passed on such...more

Ameriprise Avoids Trial On Class Action Suit By Current and Former Employees With $27.5 Million Payment

In 2011, a group of current and former employees filed a class action lawsuit in the District Court of Minnesota claiming that Ameriprise Financial, Inc. and members of its 401(k) Plan fiduciary committee had breached their...more

Can your social media contacts be a trade secret of your employer? Maybe.

This is a relatively new legal subject, so there isn’t much law out there.  In December, 2011, a Pennsylvania federal court answered this question in the negative.  In the case of Eagle v. Morgan, Linda Eagle, the founder of...more

What factors bear upon the enforceability of noncompete agreements? P.2

In our last post, we began speaking about the factors that are taken into consideration when determining the enforceability of noncompete agreements. We’ve already mentioned that the fundamental consideration is whether the...more

SEC Gives Insider Outside Bounty for Whistleblowing

On March 2, 2015, the U.S. Securities and Exchange Commission awarded a whistleblower at least $475,000 for providing original, high-quality information that led to a successful SEC enforcement action. The whistleblower is a...more

The Perennial Problem of References

Most employers would be very happy to receive a frank appraisal from a prospective employee’s former employer. Yet most employers are themselves reluctant to give references concerning former employees, or any information...more

Restrictive Covenants: The Employee Choice Doctrine Explained … Yet Again

The “employee choice” doctrine is one of those employment terms that is as misunderstood as “right to work,” “employment at will” and my personal favorite, “labor lawyer”. But a recent New York Federal court in IBM v Smadi,...more

A Different Kind of Data Breach—Loss or Disclosure of Company Information by Employee Theft

Data breaches are all over the news, but those stories most often cover high-profile cybersecurity breaches that result from the malicious efforts of hackers or other outsiders. Just as insidious, and more likely to occur,...more

Illinois Restrictive Covenants: The “Gray” Bright Line Regarding Sufficient Consideration

Illinois non-compete law continues to wend a circuitous path through the employment landscape, making it occasionally difficult for employers and employees alike to predict outcomes in these cases....more

Be Careful What You Promise Employees Who Leave Your Employment

Clients sometimes like to ease the transition for employees who are retiring or whom the client would like to encourage to leave. One strategy is to continue the employee “on payroll” for a period of time with the expectation...more

First SEC Whistleblower Award To Former Company Officer

On March 2, 2015, the SEC announced an expected award of $475,000 to $575,000 to a former company officer “who reported original, high-quality information about a securities fraud that resulted in an SEC enforcement action...more

STOP, THIEF! - How to Keep Your “Secret Sauce” In-House, When an Employee Is Lured to Greener Pastures

No matter how collegial and successful a workplace you have created for your employees, attrition is an inevitable fact of life in business, and in government contracting in particular. ...more

Blog Restrictive Covenants: What Startups Need to Know

“Restrictive Covenants” is a term used to describe provisions in an agreement that purport to restrict an employee from doing certain things after she leaves the company....more

Has the "Inevitable Disclosure" Doctrine Found a Foothold in North Carolina?

Twenty years ago, the Seventh Circuit Court of Appeals in PepsiCo, Inc. v. Redmond, 54 F.3d 1262 (7th Cir. 1995) advanced the “inevitable disclosure” doctrine in trade secret misappropriation cases. The doctrine essentially...more

Employers' Motive No Longer a Basis for Tortious Interference

The Utah Supreme Court issued a landmark ruling last week that significantly changes tortious interference law, requiring the plaintiff to show a wrongful act to pursue a claim. The decision in Eldridge v. Johndrow partially...more

Inventory Computation Exclusion Bars Employee Theft Claim in Alabama

Employee theft claims are frequently problematic when the only evidence of shortage is a comparison between computer records and a physical inventory conducted after the malefactor has been discharged.  ...more

Fourth Circuit Upholds Federal Criminal Conviction for Accessing Former Employer's Database

The federal Computer Fraud and Abuse Act (CFAA) was primarily intended to deter and punish database hacking by third parties. Employers involved in disputes with former employees have attempted to use CFAA in response to...more

DOL Clarifies When an Employer’s LCA Wage Obligations Cease to Terminated Workers Who Obtain Subsequent Approved H-1B Employment

On December 22, 2014, the U.S. Department of Labor’s (DOL) Administrative Review Board (ARB) issued an important Final Order and Decision clarifying precisely when an H-1B employer’s Labor Condition Application (LCA) back pay...more

Two Men Receive $7.6 Million in Goldman Sachs Wrongful Firing Suit

A pair of former brokers for Goldman Sachs & Company’s Los Angeles offices earned $7.6 million in monetary awards after filing a wrongful termination and discrimination suit against the company. The men, Chris Barra and Luis...more

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