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Non-Compete Agreements › Jurisdiction

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 -
Seward & Kissel LLP

Employment Litigation Roundup: January 2025

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Seventh Circuit upholds forfeiture-for-competition provision in restricted stock unit agreement - A Seventh Circuit panel, in LKQ Corporation v. Rutledge, held that an employer could enforce a “forfeiture-for-competition”...more

Foley & Lardner LLP

What Companies Need to Consider Before Asking an Independent Contractor to Sign a Noncompete Agreement

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As courts continue to be critical of noncompete agreements, employers must remain informed and proactive to make sure their agreements can withstand judicial scrutiny. Around this time last year, we reported on annual...more

JAMS

Global Perspectives on Employment Disputes: Key Lessons From Cross-Border Cases

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Navigating employment disputes across borders presents unique challenges for employers and employees alike. Legal frameworks, cultural sensitivities and ethical considerations can vary greatly from one jurisdiction to...more

Jones Day

Employer Prevails in First Test of California's Newest Noncompete Law

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In the first known case to challenge California's legislative attempt to void noncompete agreements even for employees who do not live or work in California, the First Circuit Court of Appeals upheld the application of...more

Kilpatrick

The FTC’s Rule Banning Non-Compete Agreements | What You Need to Know

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The Federal Trade Commission, in a tight 3-2 vote, recently voted to adopt a rule banning non-compete agreements nationwide. Noncompete agreements have never been regulated at the federal level and the FTC’s adoption of its...more

Williams Mullen

Are Your Non-Competes Still Valid? A Summary of the New Federal Trade Commission Rule

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On April 23, 2024, the Federal Trade Commission (FTC), pursuant to sections 5 and 6(g) of the Federal Trade Commission Act (the “Act”), issued their final “Non-Compete Clause Rule” (Rule). This Rule provides that non-competes...more

Lathrop GPM

Federal Trade Commission Non-Compete Clause Rule May Exempt Certain Nonprofit and Other Types of Employers

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As covered in an earlier client alert by our firm, The Federal Trade Commission (FTC)’s final Non-Complete Clause Rule—if it survives legal challenges and becomes effective—would ban most post-employment non-compete...more

Lathrop GPM

Minnesota Federal Court Enforces Noncompete Covenant Against Manufacturer’s Former Employees, but Finds No Jurisdiction over...

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A federal court in Minnesota recently granted Toro’s motion for a preliminary injunction against two former employees, while dismissing their new employer, a Canadian manufacturer, for lack of personal jurisdiction. The Toro...more

Seward & Kissel LLP

Employment Litigation Roundup: February 2024

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Former HR Executive Sues Financial Services Company for Equal Pay Violations in New Jersey Federal Court - A former head of human resources sued a financial services company for allegedly underpaying her relative to her...more

Nilan Johnson Lewis PA

Post-Hire Advice-of-Counsel—Why the Justification Defense Can Be Used in Ongoing Restrictive Covenant Litigation

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Hiring an applicant who has a non-compete or non-solicit agreement with a prior employer creates risk for the both the individual and the new employer. The prior employer can sue both the applicant for violating the contract...more

Proskauer - Law and the Workplace

[Podcast]: In a World Without Non-Competes

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In this episode of The Proskauer Brief we are joined by Daryl Leon, one of the leads of Proskauer’s Restrictive Covenants, Trade Secrets and Unfair Competition Group and Edna Guerrasio, senior counsel in the Labor &...more

Stevens & Lee

FTC’s Proposed Non-Compete Ban: What Prior Decisions and Guidance May Reveal About the Impact on Nonprofit Healthcare Providers

Stevens & Lee on

In a prior post, we discussed the FTC’s recently-issued Proposed Rule that would, if finalized in its current form, and with only limited exceptions, prohibit employers from using non-compete clauses. With respect the...more

Bradley Arant Boult Cummings LLP

You Thought You Were Protected? When a Non-Compete Isn’t Enforceable (Maybe)

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If you have or want enforceable non-compete agreements with employees, read on. Here’s a hypothetical: You are looking to hire a salesperson, and you find just the right person, John. Your company has a great...more

King & Spalding

Jurisdictions Are Vying for the Most Restrictive Non-Compete Laws and Your State Could Be Next

King & Spalding on

Series 3, 10 in 10: Issue 1 - Non-compete agreements are coming under increased scrutiny across the United States with several states and municipalities implementing new restrictions on these agreements in the employment...more

Morris James LLP

Chancery Applies Forum Non Conveniens Analysis to Grant Partial Stay of Dispute Between LLCs and Former Manager

Morris James LLP on

AG Resource Holdings, LLC v. Thomas Badford Terral, C.A. No. 2020-0850-JRS (Feb. 10, 2021) - In AG Resource, the Court of Chancery was tasked with determining whether it or a Louisiana state court should resolve similar...more

Farrell Fritz, P.C.

Preliminary Injunctions: Jurisdictional Issue Undermines Likelihood of Success on the Merits

Farrell Fritz, P.C. on

Paramount to obtaining an often necessary preliminary injunction pursuant to Article 63 of New York’s Civil Practice Law and Rules (“CPLR”) is the movant’s obligation to establish a likelihood of success on the merits.  A...more

Knobbe Martens

Princeton Digital Image Corp. v. Office Depot Inc. Et Al.

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Federal Circuit Summary - Before Dyk, Taranto, and Stoll. Appeal from U.S. District Court for the District of Delaware. Summary: The Federal Circuit lacks jurisdiction to hear an appeal from a district court judgment...more

Holland & Knight LLP

Massachusetts Enacts Law on Noncompete Agreements

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• Massachusetts Gov. Charlie Baker recently signed into law the Massachusetts Noncompetition Agreement Act (Act), governing noncompetition agreements signed on or after Oct. 1, 2018, by employees and independent contractors...more

Foley & Lardner LLP

Non-Compete: Who is the Bad Actor?

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Against the backdrop of a continuing trend of low rates of unemployment throughout the United States, there has been a recent surge of people searching for new and better jobs. As a result, there has also been increased...more

Faegre Drinker Biddle & Reath LLP

Suing Your Employee? Don't Try This at Home

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In Petter v EMC Corporation [2015] EWCA Civ 828, a U.K. subsidiary and its U.S. parent company were prevented by the English courts from continuing non-compete proceedings against an employee in the court of Massachusetts....more

Orrick - Trade Secrets Group

Courts Continue to Enforce Foreign Non-Competes in California While the Window for Such Agreements Slowly Closes

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Contrary to common perception, California employees who signed restrictive covenants prior to January 1, 2017 are not completely immune to enforcement of all restrictions on competition. For the second time in several years,...more

Seyfarth Shaw LLP

The Latest East Coast/West Coast Conflict: Massachusetts Courts Consider the Application of California Law in Non-Compete...

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Hearkening back to the rivalry between the Boston Celtics and Los Angeles Lakers in the 1980s, Massachusetts courts (as well as others around the country) have increasingly been asked to analyze the application of California...more

Burr & Forman

Are Non-Compete Agreements Right for Your Construction Company?

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Non-compete agreements, or non-competition agreements, are contracts into which an employer and an employee enter that restricts the work the employee can perform for another company when the employee’s tenure at the employer...more

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

The Practical NLRB Advisor - Issue 4, Winter 2017

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The National Labor Relations Board (NLRB) continued making life more difficult for employers in 2016. The agency issued a host of decisions that significantly expand the number and type of individuals that unions can seek to...more

Proskauer Rose LLP

A Month in UK Employment Law - August 2016

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News & Legislation Update - The UK votes to leave the EU - We could not write a roundup of news stories from the UK without referencing the UK's vote to leave the EU. The so-called "Brexit" has created...more

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