Non-Solicitation Agreements

News & Analysis as of

Alternative Theories To Address Former Employee Competition Where There Are No Covenants

A recent Connecticut Superior Court case demonstrates that all is not lost for an employer when a former employee without a non-compete or a non-solicitation covenant leaves and competes. Wentworth, DeAngelis & Kaufman, Inc....more

Business Litigation Reporter -- June 2014

Goodwin Procter’s Business Litigation Reporter provides timely summaries of key cases and other developments within dedicated Business Litigation sessions and related courts throughout the country – courts within which...more

Leave My Employees Alone! You Promised You Wouldn’t Hire/Solicit Them

With the antitrust class action against Google, Apple, Intel and other Silicon Valley heavyweights nearly in the books ($300 million plus in settlements and millions more in defense fees later), it is time once again to ask...more

Good Things Come To Those Who Wait: $26 Million

Trade secret misappropriation cases often are won or lost quickly and early at the preliminary injunction stage of the case. However, today we report on the results of a slow moving, long-running trade secret case that...more

Federal District Court Rejects Challenges to Employee Non-Solicitation Agreement

As reported in EmployNews, in recent years North Carolina courts have increased the degree of scrutiny used when reviewing employee non-compete agreements, rejecting as overbroad agreements that would have been upheld in the...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

Is A Licensed Securities Dealer A “Professional” Under Alabama Law Prohibiting Enforcement Of Nonsolicitation Agreements Against...

The Alabama Court of Civil Appeals released a slip opinion on May 16, 2014 addressing enforcement of a nonsolicitation agreement against a licensed securities broker. See G.L.S. & Associates, Inc., and G.L. Smith &...more

Protecting Your Start-Up’s Core Assets

In my series of posts with advice for start-ups, I think this is the most important one. It is about protecting the heart of your business, i.e. those assets that form its foundation, drive its prospects and distinguish it...more

Arizona Court Strikes Down Restrictive Covenants

In a notorious case, the Arizona Court of Appeals yesterday struck down Quicken Loans’ non-solicitation covenants and confirmed that the defendants in the case were entitled to recover their attorneys’ fees. Quicken sued...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

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

Governor Patrick Proposes Bill to Ban Certain Non-Competes in Massachusetts but Preserve Enforceability of Other Restrictive...

Last week, Massachusetts Governor Deval Patrick proposed legislation that would ban certain non-competition provisions in agreements with employees and independent contractors. Certain other important restrictive covenants,...more

What to Do When Your Client’s COO Becomes Your Competitor’s BFF

One of your most important clients just called. She reports that one of her senior sales people quit a few months ago, and she just learned that the sales person has joined a large competitor. Panicking, your client wants to...more

Protecting Trade Secrets When Employees Depart [Video]

Employment and labor lawyer Richard Warren discusses how employers can better protect one of their most valuable assets—their trade secrets....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

Announcing a Job Move on LinkedIn or Facebook - Breach of Contract or Fair Game?

It is always worthwhile to talk about current developments in the area of social media and employment law, and to look back at their contextual import. Much of the fun, however, lies in playing the forecasting game, and...more

2014 Labor And Employment Law Checklist

Each year, LP’s Labor & Employment Practice Group is pleased to provide a short checklist of steps that all companies should consider taking to measure their readiness for the coming year. We hope that you find this 2014...more

Quick Reference Guide For Laws Governing Post-Employment Conduct - Fifty States At A Glance

In the first days after a key employee, or any employee with access to a company’s sensitive or proprietary business information, leaves to join a competitor, employers must quickly decide how to respond. In these situations,...more

Social Media & Non-Competition Clauses

In our earlier post (Are Non-Competition Restrictions Enforceable?), we reviewed “restrictive covenants” - these are clauses under which employees are bound by restrictions such as non-competition restrictions,...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

If You Fire Me Without Cause, Can I Ignore My Non-Compete And Steal Your Clients?

In the decades since Post v. Merrill Lynch, Pierce, Fenner & Smith, 48 N.Y.2d 84 (1979), in which the New York Court of Appeals concluded it would be unreasonable to enforce a non-competition agreement requiring forfeiture of...more

Fenwick Employment Brief - November 2013

Flurry of New California Employment Statutes Continues - The California Legislature passed and Governor Brown approved the following new statutes impacting California employment law that shortly take effect in 2014....more

New Job? Think Twice Before Announcing it via Social Media

A lawsuit filed in Massachusetts state court recently raised the issue of whether a former employee’s LinkedIn post announcing a new job could violate an anti-solicitation clause of a non-compete contract with the former...more

In Harnett, First Circuit Rejects Bright Line "First Contact" Rule for Non-Solicitation Agreement

In a decision involving the “first contact” rule with respect to non-solicitation agreements, the First Circuit, in Corporate Technologies v. Harnett, rejected a bright line application and upheld a ruling of tortious...more

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