Non-Compete Agreements Hiring & Firing

Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a... more +
Non-Compete Agreements are contracts, typically formed in employment or business purchase contexts, where one party agrees to refrain from engaging in a particular line of work or pursuing business within a certain industry or locale. The purpose of these agreements is to protect employers or business purchasers from competition stemming from former employees or former owners of a business. less -
News & Analysis as of

5 Key Employment Law Challenges for In-House Counsel

5 employment law challenges that in-house counsel will face in the coming year and how to get out ahead of them....more

Having Employees Sign Non-Compete Agreements After They Have Already Started Working Could Be A Big Problem For Some Employers

A non-compete agreement is a vital tool that companies use to protect their confidential and trade secret information and their customer and employee relationships. Employers, of course, want to avoid the trouble of running...more

Uncertain Fate of Non-competes in Massachusetts: Senate Passes Compromise; Legislation Heads to Conference Committee Negotiations

On July 1, 2014 the Massachusetts Senate voted for a compromise on employee non-compete agreements, and the Joint Economic and Emerging Technology Committee heard testimony on the same issue. Governor Deval Patrick spurred...more

5 Attributes of a Successful Non-Compete Agreement

Given the rising use of non-competes in all manner of businesses, we asked JD Supra contributors to tell us what's required in a successful agreement between employer and employee. Here is what we heard back....more

Using Non-Competes When Greater Employee Responsibility = Greater Protectable Interest

Many employers require new hires to sign non-compete agreements and we have advised previously about best practices for employers to refresh their non-compete terms on a regular basis. A recent decision by a Maryland federal...more

Labor & Employment E-Note - June 12, 2014

In This Issue: - Unions Battle with Employers Over Covering ACA Costs - More Types of Companies Requiring Workers to Sign Non-Competes - Employers Cut Back on Benefits, Push Health Costs onto Workers - High...more

Proposed Ban on Non-Competes in Massachusetts

Proposed legislation introduced by Governor Patrick to eliminate most forms of non-competition agreement in Massachusetts may be enacted before July 31, 2014. This legislation creates significant risks for employers with...more

Federal Court Reminds Trade Secret Owners That the Statute of Limitations Isn't Everything When it Comes to Misappropriation...

Several years after an employee leaves your company, you realize that he or she has been using confidential and proprietary information acquired from your business to compete against you. Your non-compete agreement with the...more

Managing the Risks of a Mobile Workforce

Retiring after 30 years with the same company is rare today. The symbolism of a retirement party and a gold watch will be lost on generations as frequent employee transition between companies becomes the norm. ...more

Restrictive Covenants and the Cross-Border Employer

In most U.S. states employers are free to bind employees with restrictive covenants – which commonly take the form of post-employment restrictions on soliciting clients or employees – as a condition of employment. The wide...more

Pennsylvania Superior Court Rules that Employers Must Provide Additional Consideration to Bind Current Employees to a Non-Compete...

In Socko v. Mid-Atlantic Systems of CPA, Inc., 2014 WL 1898584 (Pa. Super. Ct. 2014), a case of first impression, the Pennsylvania Superior Court ruled that simply reciting, in a non-competition agreement with a current...more

Prepare To Consider Your Former Employees Your New Competition

There’s nothing that gets employers more fired up than a former employee jumping ship to join a competitor. But, in an effort to prevent such future angst, you’ve had your employees sign a non-compete. You’re golden, right?...more

Employers Must Provide "Valuable Consideration" To Current Employees When Entering A Non-Compete Agreement During Employment

In a case of first impression for the appellate courts of this Commonwealth, the Pennsylvania Superior Court recently ruled in Socko v. Mid-Atlantic Systems of CPA, Inc. that language contained in an employment agreement...more

Pennsylvania Superior Court Confirms that Valuable Consideration Required for Non-Compete Agreement Entered Into After...

Through its decision in Socko v. Mid-Atlantic Systems of CPA, Inc., No. 1223, 2014 WL 1898584 (Pa. Super. Ct. May 13, 2014), the Pennsylvania Superior Court has confirmed that a restrictive covenant entered into after the...more

My Non-Compete, Your Salary: Words Of Caution For Business Owners And Employees

Without the ability to enforce it, a non-competition agreement can turn worthless, or ? perhaps far worse ? extremely expensive for an employer whose chooses to file litigation against a former employee. One area that can...more

Why Assuming Out of State Non-Compete Agreements are Unenforceable Against California Employees is High Risk Behavior

A recent case holding that a Washington employer’s non-compete agreement is enforceable against California employees reinforces a continuing trend in the California judiciary to allow non-compete agreements to be decided in...more

What Happens at Work Stays at Work – The California Employer’s Approach To A National Program for Restrictive Covenants and Trade...

In This Presentation: The California Landscape: A Refresher - Post-Termination Non-Competes – Unenforceable under Bus. & Prof. Code §16600 and Edwards v. Arthur Andersen – Other jurisdictions may...more

Illinois Court Of Appeals: Non-Competes Unenforceable Without At Least Two Years Of Continued Employment

In Fifield v. Premier Dealer Services, Inc., the Illinois Court of Appeals covering Chicago held that as a matter of law, an at-will employee must remain employed for at least two years to receive consideration sufficient to...more

Pennsylvania Employers Consider This: Continued Employment Alone Is Not Sufficient Consideration for a Noncompetition Agreement

Pennsylvania remains one of the few states that still require “new” consideration in order for an employer to bind an existing employee to a noncompetition agreement. Not only does the consideration have to be new, it must...more

Massachusetts Governor Deval Patrick Proposes Elimination of Most Non-Compete Agreements and Adoption of Uniform Trade Secrets Act

What you need to know: Massachusetts Governor Deval Patrick recently proposed legislative reform that would abolish non-compete agreements made in the technology and life sciences sectors, as well as other, currently...more

Massachusetts Governor Wants to Ban Non-Compete Agreements and Enact the Uniform Trade Secrets Act

Massachusetts Governor, Deval Patrick, recently announced a bill—An Act to Promote Growth and Opportunity—that would provide workforce training opportunities and promote economic development incentives across the...more

Executing Enforceable and Practical Non-Compete Agreements

Savvy business owners realize the value of key employees. The savviest business owners consider the execution of a strong non-compete agreement with key employees to avoid costly fallout when key employees leave the...more

Social Media Job Updates: The “Footprints in the Snow” Showing Customer Solicitation?

In this era of hyper self-promotion and cyber networking, through the wonders of social media, former employees are commonly creating some of the most incriminating evidence establishing their violation of non-compete and...more

Act Now Advisory: Since Fifield Is Not Going Away Any Time Soon, Illinois Employers Should Consider Revising the Consideration...

In June 2013, the Illinois Appellate Court for the First District (i.e., Cook County) held that, absent other consideration, two years of employment is required for a restrictive covenant to be deemed supported by adequate...more

Missouri Employers Need to be Careful in Drafting Non-Competes

Noncompete agreements?and their enforceability?have been making headlines lately. While Missouri courts continue to generally enforce properly drafted and reasonable non-compete, non-solicit and non-disclosure agreements,...more

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