News & Analysis as of

No-Hire/No-Solicitation Agreements

Proskauer - California Employment Law

It’s Almost Valentine’s Day – And Love and Noncompetes Are In the Air!

As we previously reported, California recently enacted AB 1076, which reinforces the state’s broad statutory ban on noncompete agreements. The law took effect on January 1, 2024, and expressly codifies Edwards v. Arthur...more

Troutman Pepper

Seventh Circuit Revives McDonald's Employee No-Poach Litigation

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In June of 2022, McDonald’s obtained a judgment on the pleadings, ending antitrust litigation challenging the legality of the no-hire restraints it previously included in its franchise agreements. More than a year later, the...more

Constangy, Brooks, Smith & Prophete, LLP

Want to prevent your employees in Georgia from raiding your workforce? Make sure you have a geographic limitation.

Many employers require employees to sign restrictive covenants prohibiting them from engaging in certain activities after their employment ends. These prohibitions frequently include - opening or working for a competing...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Louisiana Restrictive Covenant Signed by C-Suite Employee After Termination Is Unenforceable, State Appeals Court Holds

In Louisiana, restrictive covenants—known locally as “no competes”—are unenforceable by statutory default. The applicable statute declares, “Every contract or agreement, or provision thereof, by which anyone is restrained...more

Kilpatrick

Class Action | Eleventh Circuit Reinstates No Hire Antitrust Claims Against Burger King

Kilpatrick on

Partner Jay Bogan recently discussed the Eleventh Circuit Reinstating No Hire Antitrust Claims Against Burger King....more

Lewitt Hackman

Franchisor 101: All the King’s Poachers

Lewitt Hackman on

A federal appellate court held that Burger King and its franchisees may violate Section 1 of the Sherman Act (antitrust) by engaging in concerted action when entering into “no-hire” agreements. The appellate court reversed...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Eleventh Circuit Serves a Whopper of a Ruling on Franchisor’s ‘No-Poach’/‘No-Hire’ Agreement With Franchisees

​​​​​​​Over the last several years, business-to-business “no-hire” and “no-poach” agreements have come under legal attack, including through enforcement actions by the Federal Trade Commission and criminal prosecutions by the...more

Kilpatrick

Eleventh Circuit reinstates no-hire antitrust claims against Burger King

Kilpatrick on

Takeaway: Restrictive covenants have generated a lot of controversy lately, especially with the Department of Justice’s continued focus on illegal no-poach hiring agreements between Silicon Valley companies and other firms. ...more

Robinson+Cole Health Law Diagnosis

Connecticut Prohibits No-Hire Provisions in Homemaker and Home Health Agency Contracts

As previously addressed on this blog, Connecticut Governor Ned Lamont recently signed into law the state’s fiscal year 2023 budget (HB5506) (Act). Among other things, the Act prohibits homemaker-companion or home health...more

CDF Labor Law LLP

[Webinar] Consequences of No-Poach Agreements: Civil and Criminal - May 24th, 10:00 am - 11:00 am PT

CDF Labor Law LLP on

The Antitrust Division of the Department of Justice (DOJ) has stepped up enforcement over no-poach/no-hire agreements under Federal antitrust laws. The DOJ recently tried two criminal cases against individual officers of...more

McDermott Will & Emery

Views and Lessons from the Trenches of the First Criminal No-Poach Trial

McDermott Will & Emery on

In a landmark case of first impression, the US Department of Justice’s (DOJ) Antitrust Division (Division) indicted and brought to trial a federal criminal prosecution alleging agreements between DaVita, Inc., its former CEO...more

Proskauer - Law and the Workplace

Sweeping Expansion of Protections Relating to Workplace Discrimination on the Horizon in New York State

A suite of bills aimed at further enhancing protections for both employees and independent contractors regarding discrimination, harassment and retaliation in the workplace are on the horizon in New York State. Several of...more

Cozen O'Connor

DOJ Continues Crackdown on No-Poach-Agreements

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The Department of Justice (DOJ) is continuing its crackdown on alleged “no poach” or “wage fixing” market collusion between competitors. Last week, DOJ announced charges against four individuals operating home health...more

The Volkov Law Group

Department of Justice Does the Two-Step and Announces Criminal Conspiracy Charges Against Aerospace Executives

The Volkov Law Group on

When the Department of Justice warns businesses and individuals, everyone needs to listen and respond accordingly.  Starting in 2016, the Justice Department’s Antitrust Division warned businesses that the Antitrust Division...more

Vinson & Elkins LLP

Prominent Services Contractors Ensnared in No-Poach Class Action

Vinson & Elkins LLP on

For many federal government contractors, their skilled and experienced workforce may be their most valuable asset. A recent “ice breaker” settlement of a class action lawsuit, however, demonstrates the wrong way to protect...more

Fisher Phillips

So, You’re Saying There’s a Chance…5 Employer Takeaways to Enforce No-Hire Agreements

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In a recent decision, the Supreme Court of Pennsylvania examined whether no-hire agreements (which, as their name suggests, prohibit one business from hiring employees from another business), are enforceable under...more

The Volkov Law Group

DOJ Antitrust’s Ongoing Criminal Investigation of Labor Market Collusion in Health Care Industry Nets DaVita and Former CEO

The Volkov Law Group on

The health care industry is taking it on the chin these days.  As DOJ increases False Claims Act prosecutions, the primary targets are pharmaceutical, medical device and health care providers. ...more

Troutman Pepper

Pennsylvania Supreme Court Voids No-Hire Provision in Service Contract Between Two Employers

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Q: I heard that companies entering into commercial contracts in Pennsylvania can no longer restrict each other from hiring their employees. Is that true?...more

Vinson & Elkins LLP

No-Poach Agreements: Out Of The Frying Pan And Into The Proverbial Fire?

Vinson & Elkins LLP on

My colleagues and I have written much recently regarding governmental antitrust authorities’ review of no-poach conduct (for example, see here). But let us not forget the additional scrutiny such agreements can face in...more

Troutman Pepper

Pennsylvania Supreme Court Finds "No-Hire" Provision Unenforceable

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The Supreme Court of Pennsylvania recently affirmed a Superior Court order in Pittsburgh Logistics Systems, Inc. v. Beemac Trucking, LLC et al., No. 31 WAP 2019, finding a no-hire provision between competing, sophisticated...more

Faegre Drinker Biddle & Reath LLP

The Pennsylvania Supreme Court Strikes Down a No-Hire Agreement as an Unreasonable Restraint on Trade

Recently, in Pittsburgh Logistics Systems, Inc. v. Beemac Trucking, LLC, No. 31 WAP 2019, — A.3d –, 2021 WL 1676399 (Apr. 29, 2021), the Pennsylvania Supreme Court found that a no-hire provision that was ancillary to a...more

FordHarrison

Non-Compete News: Open Season? Pennsylvania Supreme Court Invalidates No-Poach Provision Between Businesses

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In a recent decision and case of first impression, Pennsylvania’s Supreme Court unanimously affirmed that a no-hire of employees provision between a business and its vendor was unenforceable because it constituted an...more

Littler

Pennsylvania Supreme Court Decides Issue of First Impression on “No-Hire” (or “No-Poach”) Agreements

Littler on

The Pennsylvania Supreme Court recently decided an issue of first impression regarding “no-hire” (or “no-poach”) provisions in commercial contracts between two companies. In such agreements, one company agrees not to solicit...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Pennsylvania Supreme Court Invalidates No-Hire Provision in Service Contract

The Supreme Court of Pennsylvania recently held unenforceable a no-hire provision in a service contract between a logistics company and a trucking firm. In Pittsburgh Logistics Systems, Inc. v. Beemac Trucking LLC, et. al.,...more

Fisher Phillips

Supreme Court of Pennsylvania Provides A 7-Step Roadmap to Employers While Striking Down No-Hire Agreement

Fisher Phillips on

In a decision resolving a dispute that has been pending for nearly five years, the Supreme Court of Pennsylvania just voided a no-hire provision entered into by two companies that bound one of them from hiring former...more

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