News & Analysis as of

Non-Compete Agreements Confidentiality Agreements Breach of Contract

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 -
Lewitt Hackman

Franchisor 101: Court Hits Brakes on Former Franchisees

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An Ohio appellate court upheld the state trial court’s decision to grant a permanent injunction against two former franchisees of an auto body shop franchise working for a competitor in violation of the franchise agreement’s...more

Foley & Lardner LLP

Protecting Trade Secrets In States That Disfavor Noncompetes

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Federal and state laws are becoming increasingly unfriendly to employers' efforts to impose post-employment restrictions on workers via nonsolicit and noncompete agreements. However, even in states that have historically...more

AEON Law

Patent Poetry: Court Awards $500K in Attorneys’ Fees to Allstate in Trade Secret Case

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A New Jersey federal court has ruled in favor of Allstate Insurance in a dispute over attorney’s fees in a case involving allegations of employee misuse of company confidential information and trade secrets. Defendants...more

Rumberger | Kirk

Florida Still Strongly Favors Employer’s Non-Compete Agreements 

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Non-compete and confidentiality clauses have long been a fixture in employment agreements in Florida. However, there has been some dissention as to whether such restrictive covenants continue to apply where an employment...more

Winstead PC

Keeping Eyes Wide Open When New Members Join the Pack: A Cautious Approach to the Addition of New Business Partners

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There are many reasons for business owners to consider adding new partners, including to secure additional capital, to add needed expertise to help grow the company, to bring family members or close friends to join in...more

McAfee & Taft

Ruling offers guidance for companies seeking injunctions to protect trade secrets

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Customers, trade secrets, and proprietary information are the lifeblood of any company. For this reason, companies routinely have employees sign confidentiality agreements and, to the extent they are enforceable,...more

McDermott Will & Emery

Turbulence on Breach of Employment Agreement, Trade Secret Misappropriation

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Addressing a bench trial decision concerning a former employee’s retention of confidential information and violation of a non-compete provision, the US Court of Appeals for the Fourth Circuit found no abandonment of the...more

Fisher Phillips

Contractual Employee Non-solicitation Provisions Under Attack: Employer Loses Battle in Case Involving Unique Facts

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California’s prohibition against contracts that restrain a person’s ability to engage in a lawful business, profession, or trade is well-established and well-known. Ten years ago, in Edwards v. Arthur Andersen LLP (2008) 44...more

Knobbe Martens

Enforcing a Non-Compete Agreement? – One Size Does Not Fit All

Knobbe Martens on

Two high-end, off-price fashion brands are duking it out over an employee jumping ship from Century 21 Department Stores, LLC to Rue Gilt Groupe. On November 5, 2018, Century 21 sued Rue Gilt Groupe and Berenice Arcuri in...more

Fisher Phillips

California Jury Punishes Former Employees for Unfair Play-Only Lawful Competition is Sacrosanct!

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Notwithstanding California's strong public policy in favor of lawful competitive behavior, California employees' duty of loyalty to their current employer reigns supreme. A violation of that duty can lead to costly jury...more

Jaburg Wilk

An Easy and Effective Way for Employers to Protect Themselves

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Imagine this scenario: Your company is in Arizona and one of your sales representatives goes to work for a competitor. He knows all about your pricing and bidding practices, so he helps your competitor undercut your prices....more

Carlton Fields

Court Confirms Arbitrator’s Entry Of Interim Preliminary Injunction, Holding That The Award Was Sufficiently “Final”

Carlton Fields on

This case concerns a 10-year agreement by which plaintiff, an endodontist, contracted to perform consulting services for defendant Dentsply, a business that manufactured and sold endodontic products for the dental industry....more

Zuckerman Spaeder LLP

Swimming Pool Company’s Non-Compete Claim Takes a Dive

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When a company believes that an employee has breached a non-compete agreement by going to work for a competitor, one remedy it can seek is a preliminary injunction. A preliminary injunction is meant to preserve the status quo...more

FordHarrison

Eighth Circuit Finds Non-Competition Agreements Assignable to Successor Employer in Asset Purchase Without Employees' Consent

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The United States Court of Appeals for the Eighth Circuit recently held that a successor employer, who was assigned non-competition agreements as part of an asset purchase, could seek to enforce the non-competition agreements...more

Seyfarth Shaw LLP

Non-Disclosure Agreement Enforceable Although Unlimited In Time And Area

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A salesman for a medical device manufacturer signed a confidentiality covenant at the time he was hired. A dozen years later, he resigned and went to work for a competitor. The former employer sued him in an Ohio federal...more

Brooks Pierce

There's A Difference Between "Confidential And Proprietary Information" And A Trade Secret

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I can't remember the last time that the Business Court granted a motion opposing the designation of a case as a mandatory complex business case. And since the Business Court Modernization Act went into effect in October...more

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