Tortious Interference Non-Compete Agreements

News & Analysis as of

When Is a Breach of a Covenant Not to Compete Also Unfair or Deceptive?

Next Monday, August 31, the North Carolina Supreme Court will hear arguments in an important business-versus-business case. Beverage Systems of the Carolinas v. Associated Beverage Repair (No. 316A14) includes two...more

Hidden Pitfalls of Old Non-Compete Provisions

Companies and employers around the country seek to protect their intellectual property by, among other things, using non-compete provisions in employment agreements. Generally, these provisions are intended to prevent an...more

The Deeper Dive in Texas: Recent Appellate Court Decisions Affecting Providers

For this edition of the Deeper Dive, we travel to Texas for a look at some interesting cases involving healthcare providers decided on appeal in 2015. Some of these decisions may be surprising – and perhaps even troubling –...more

May Court Decision Round-Up

Nedschroef Detroit Corp. v. Bemas Ents. LLC, Case No. 14-10095, 2015 WL 2453511 (E.D. Mich. May 22, 2015). U.S. District Judge Linda V. Parker granted summary judgment in favor of plaintiff Nedschroef Detroit Corp...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

California Sunshine Warms the Market: A Twist on Customer Non-Solicitation Provisions in the Golden State

Those of you reading our Employee Mobility blog posts are familiar with California’s unique approach to non-compete agreements: they are, except in a few limited circumstances, unenforceable in the Golden State. And that...more

Octane Fitness Changes the Landscape for Trademark Cases Too

Fair Wind Sailing, Inc. v. Dempster - Addressing for the first time the application of the Supreme Court decision in Octane Fitness to trademark cases, the U.S. Court of Appeals for the Third Circuit held that a...more

Employer Failed to Establish Tortious Interference by Current Employees Who Were Secretly Operating a Competing Business

An employer failed to show that its former employees tortiously interfered with its current and prospective customers, even though they had been secretly operating a competing business while working for the employer. In...more

Know What You Are Protecting When You Develop a Non-Compete

A recent North Carolina Court of Appeals case, Phelps Staffing, LLC v. C.T. Phelps, Inc. and Charles T. Phelps, COA12-886, 2013 WL 1575409 (N.C. Ct. App. Apr. 16, 2013), highlights the need for employers who either have...more

Covenant, Shmovenant? Ten-Year Nationwide Non-Compete in Asset Purchase Agreement Forms the Basis for Tortious Interference With...

Once again we are reminded that covenants not to compete given in connection with the sale of a business are an entirely different species from the employment kind. Last week, in Oros & Busch Application Technologies, Inc. v....more

California Court of Appeal Clarifies the Limits of Statutory Trade Secret Displacement (Supersession)

In a case whose facts plainly compelled the outcome, California’s Fourth Appellate District held on October 15, 2013 in Angelica Textile Services, Inc. v. Jaye Park, No. D062405 that a claim for trade secret misappropriation...more

Public Policy Trumps Non-Compete In North Carolina

In many states, non-compete agreements are viewed by the courts with some amount of forgiveness for overbreadth. In those states, courts can in some circumstances re-write an otherwise offensive non-compete agreement to make...more

Litigation Risks From Job Applicants With Non-Compete Agreements

When a job applicant discloses a non-compete agreement with a former employer, the prospective employer may already be aware that, if the applicant is hired, the former employer might sue for “tortious interference.” ...more

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