Former Employee

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Ten Questions To Ask Your Client When Defending Against Efforts To Enforce A Restrictive Covenant Or Confidentiality Agreement

There are few circumstances in the practice of law that require more quick thinking and improvisation than defending a client at a temporary restraining order (“TRO”) hearing mere hours after meeting them for the first time....more

Ten Questions To Ask Your Client Before Seeking To Enforce A Restrictive Covenant Or Confidentiality Agreement

The phone rings on a Wednesday afternoon. In a panic, your longtime client explains that a hotshot employee has unexpectedly fled to a competitor a few months before the launch of a top secret new product. The client is...more

Go Head Over Heels To Protect Trade Secrets (And Other Gymnastics Related Puns)

Face it. No matter what industry you are in and no matter how big your company, there will come a day when one of your most valuable employees doesn't work there anymore. When that happens, it's natural to feel disappointed...more

Sales Of $8,000 Stemming From Trade Secret Misappropriation Results In Liability For $1.3 Million

At a time when an ex-employee’s newly created company was subject to an injunction prohibiting misappropriation of his former employer’s supposed trade secret, the new company allegedly used that confidential information on a...more

Tenth Circuit Addresses ERISA Limitations Provision in Class Action Decision

In Fulghum v. Embarq. Corp., 785 F.3d 395 (10th Cir. 2015), the Tenth Circuit Court of Appeals considered the claims of a class of telephone company retirees whose life and health insurance benefits were reduced or eliminated...more

If You Have Confidential Information, Keep It Confidential!

I’ve been involved in many cases where it is alleged that someone violated his or her non-compete agreement or misappropriated the company’s confidential information or trade secrets. Often, the key issue has been not what...more

Post-Employment Covenants: Is an Inducement to Smile An Inducement to Cancel?

A recent Circuit Court case confirms that the term “non-inducement” means just that. In American Family Mutual Insurance Company v. Graham, the Eighth Circuit affirmed a jury verdict against an insurance agent who, the jury...more

Top Ten Mistakes Made by Departing Employees

Recently, I wrote about the top ten things a company should do when an employee resigns to join a competitor. But what about the flip side of that coin? What mistakes should be avoided by departing employees and the firms...more

So You Have a 10-Page Single-Spaced Alabama Noncompete Agreement, Now What?

Employees in Alabama, like in many other places, often are required to sign employment agreements, most of which contain future restrictions on certain activities. The menu items for these agreements usually include covenants...more

Appellate Decision Teaches New Jersey Employees How To Remove Confidential Documents and Trade Secrets from Employers

Like the hit show "How to Get Away with Murder," the recent New Jersey ruling in Spencer Sav. Bank SLA v. McGrover (App. Div. March 5, 2015), instructs employees looking to remove their employers' confidential documents and...more

Maintaining Trade Secret Confidentiality in Litigation

Early Monday morning you learn that Jane, your former employee, has stolen your company’s confidential information and her new employer is using it. You call your lawyer and tell her that you want to put Jane in jail. Your...more

Health care worker sent to jail for HIPAA violations

When we train employees on HIPAA, we always remind them that HIPAA violations carry significant penalties-both civil and criminal. Our favorite line is “Keep your day job.” Stealing patient information is never worth the...more

Hack Attack?

Breathing a sigh of relief that he neither works for U.S. agencies requiring security clearances nor do his hiring policies require the details of mental illnesses, drug and alcohol use, past arrests, bankruptcies, Joe Hyre...more

Caught Stealing More Than Bases, St. Louis Cardinals Teach Trade Secret Safety to All Employers

The recent hacking attack against the Houston Astros is a wake-up call for all employers: no organization is safe from its adversaries’ attempts to steal proprietary information to gain a leg up in the competition. The...more

A Reminder to Employers That FLSA Claims Cannot Be Waived in Most Circumstances

When an employer signs a general release of claims with a former employee, it expects that the agreement and the consideration provided will prevent future legal claims. However, certain actions, such as Workers’ Compensation...more

New York Rejects Florida Non-Competition Law As Against Public Policy

In a blow to New York employers who wish to enforce restrictive covenants under other state law, the New York Court of Appeals recently held that the Florida choice of law provision in an employment agreement was...more

Fifth Circuit Finds Settlement Agreement Did Not Release Employees’ FLSA Claims

In Bodle v. TXL Mortgage Corp., No. 14-20224 (June 1, 2015), the Fifth Circuit Court of Appeals held that a generic, broad-form settlement release between an employer and two of its former employees did not bar those...more

No-Hire Clauses Common to Settlement Agreements Now Void In California

The Ninth Circuit Court of Appeals recently broadened California's already expansive interest in promoting employee mobility by voiding any contract provision imposing a meaningful obstacle to a California resident's ability...more

Not So Fast (and Not So Final): Ninth Circuit Tells District Court to Reconsider Final Approval of Class Settlement

Final approval of a class action settlement sometimes isn’t so final. At least that’s what the Ninth Circuit reminded Labor Ready Southwest, Inc. and a class of current and former employees earlier this week. On...more

Fighting Back: Identifying Risks Posed by an Angry Current or Former Employee

Something lost is always in the last place you look (by definition). It can also sometimes be in the first. Although technology has made it possible for outsiders to manipulate and infiltrate your company’s systems...more

Former Employee Not Entitled to Compensation for Unused Vacation Time

Many employers offer paid vacation time as a benefit to their employees. There is no Pennsylvania law requiring the payout of unused paid leave time, such as vacation; instead, this is governed by the employer’s policy or...more

Be Like Mike? Enforcing Restrictive Covenants Against Unique Employees

Restrictive covenants, in which an employee agrees for a certain period of time to refrain from working for a competitor or from soliciting away the company’s clients or employees, have become commonplace. Companies in...more

Two Claims You May Not Want To Make In North Carolina

I said yesterday that there was too much in DSM Dyneema, LLC v. Thagard, 2015 NCBC 47 for just one post, so here are the rest of the key points from the case. They involve two claims you might not want to bother to make in...more

Stop. Wait a Minute. I Have a Few Questions Before You Drive Away

With the continued success of the auto industry, comes the increase in employee mobility. Regardless of how great you are as an employer, not all of your employees will stick around forever, especially your most valuable...more

Employer Can Proceed With Breach Of Noncompete And Trade Secrets Claims Against Former Employee Who Refused To Relinquish Control...

Recently, an Illinois federal district court denied in part an employee’s motion to dismiss various claims asserted by his former employer, allowing the employer to proceed with its claims for breach of a non-compete...more

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