News & Analysis as of

Restrictive Covenants Void and Unenforceable

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

New Minnesota Law Voids Restrictive Employment Covenants in Service Contracts, Except for Computer Professionals

Minnesota’s legislature rushed through several bills this year affecting recruiting and staffing associations and other service providers such as property management companies. One such law may, as one member of the Minnesota...more

Parker Poe Adams & Bernstein LLP

New California Law Requires Notice to Employees About Void Noncompetes

Most employers know that California has for decades prevented enforcement of employee non-competition and customer non-solicitation agreements. Some companies with California operations modify their agreements with employees...more

Holland & Knight LLP

Florida Legislature Proposes Ban on Physician Noncompete Agreements

Holland & Knight LLP on

The Florida Legislature is currently considering two bills that, if enacted in their current form, would significantly reduce (and potentially eliminate altogether) the enforceability of noncompete agreements against...more

Miles & Stockbridge P.C.

California Further Limits Employers’ Use of Restrictive Covenants Agreements

Two bills took effect in California earlier this month imposing further limitations on restrictive covenants in employment agreements, one of which voids noncompete agreements even if they are signed outside of the state....more

Ervin Cohen & Jessup LLP

­California Opens its Doors to Commerce by Voiding Out-Of-State Non-Compete Agreements

You may have heard the half-serious joke that California acts as its own independent country. One example of this is California’s strong disfavor of non-compete agreements, which stands in contrast with the rest of the...more

Jackson Lewis P.C.

Oregon Amends Restrictive Covenant Statute To Further Limit Employers’ Use

Jackson Lewis P.C. on

Oregon law on permitted covenants not to compete has been amended to void nonconforming agreements and limit such agreements to employees making at least $100,533, among other changes...more

Saiber LLC

SDNY Rules that Trump Campaign Non-Disclosure is too Broad to Enforce

Saiber LLC on

In another strike against restrictive covenants in employment contracts, Judge Paul G. Gardephe of the Southern District of New York ruled in Jessica Denson v. Donald J. Trump For President, Inc. that the non-disclosure and...more

Lewitt Hackman

Franchisor 101: Taking the Red Pill on Non-Competes

Lewitt Hackman on

Franchisors and franchisees in California have long conducted themselves based on precedent that voids post-termination covenants against competition in a franchise agreement in California. Recently, a franchisor’s ability to...more

Verrill

2019 Wrap Up: States Continue to Limit the Enforceability of Employee Non-Competition Agreements

Verrill on

Most employers use contracts to protect their customer relationships and proprietary information from unfair competition by employees. They must. If they do not, they may lose their ownership rights in such business...more

Proskauer - Law and the Workplace

Maryland Bars Non-Competes for Low-Wage Employees

Quick Hit: Effective October 1, 2019, Maryland law prohibits the use of non-competition agreements for employees with wages equal to or less than $15 per hour or $31,200 annually....more

Proskauer - Law and the Workplace

Non-Competes in Washington – Over-Reaching Could Cost Employers

Washington is the most recent state to adopt a law restricting the use of noncompetition agreements. The new law (HB 1450), which was signed by Governor Jay Inslee on May 8, 2019 and is scheduled to go into effect on January...more

Foster Garvey PC

Washington Employers: Your Non-Competes May Soon Be Nonbinding

Foster Garvey PC on

On April 17, the Washington Legislature approved sweeping new restrictions on employers’ non-competition agreements with their employees and independent contractors. The bill, now headed to the Governor’s desk for his...more

Womble Bond Dickinson

North Carolina Business Court Decision Could Impact Enforceability of Many Non-Competition Covenants

Womble Bond Dickinson on

A recent decision in the North Carolina Business Court could have significant implications on non-competition covenants in employment agreements that contain a very common automatic renewal term. The decision, if followed by...more

Brownstein Hyatt Farber Schreck

Nevada Redefines Non-Compete Standards; Employers Should Promptly Review Their Agreements

The Nevada Legislature recently passed, and the governor approved, a new law addressing employee non-compete agreements, which went into effect on June 3, 2017. The law expressly defines the standards for enforceable...more

Proskauer - Law and the Workplace

Nevada Codifies Amendments For Non-Competes and Other Forms of Restrictive Covenants – Adopts “Blue Pencil” Standard, Imposes...

Nevada’s Assembly Bill 276, which became effective on June 3, 2017 (the “NV Law”), articulates new rules and requirements for employee restrictive covenants, some of which fundamentally alter the State’s prior practices. The...more

Jackson Lewis P.C.

What Does it Mean to “Modify” an Unenforceable Non-Competition Covenant Under Georgia’s Restrictive Covenants Act?

Jackson Lewis P.C. on

Although Georgia’s Restrictive Covenants Act has been on the books since the spring of 2011, no judge has decided the exact scope of Georgia courts’ blue-penciling abilities – until now....more

Dickinson Wright

New Rules for Nevada Noncompetes

Dickinson Wright on

Nevada Companies Must Review Their Noncompete Agreements - The Nevada Supreme Court recently has injected substantial uncertainty into any Nevada contract that contains a noncompete agreement, and companies need to...more

Morrison & Foerster LLP - Social Media

Court Upholds Enforceability of “Clickwrap” Employee Agreement

As we have previously discussed, if you want your electronic contracts to be enforceable, it is a best practice to require the counterparty to affirmatively accept the contract by checking a box or clicking a button. A recent...more

Parker Poe Adams & Bernstein LLP

North Carolina Court Again Narrows Scope of Post-Employment Restrictions

Last week’s EmployNews reported a Fourth Circuit Court of Appeals decision applying North Carolina law that invalidated an employment non-competition clause due to what it viewed as the overreaching scope of the restrictions....more

Jackson Lewis P.C.

Wisconsin Court Finds Anti-Poaching Agreements to be Unenforceable

Jackson Lewis P.C. on

Analyzing an anti-poaching agreement as a non-compete agreement, a Wisconsin Court of Appeals has confirmed that a former employee’s agreement not to solicit other employees may be void and unenforceable if it is too broad....more

Parker Poe Adams & Bernstein LLP

South Carolina Court of Appeals Says 150-Mile Geographic Restriction in Non-Compete is Unreasonable

South Carolina courts evaluate the enforceability of non-compete provisions executed in the employment context and in connection with the sale of the business under the same reasonableness test. To be enforceable in South...more

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

Utah Governor Signs Law Restricting Post-Termination Noncompete Agreements

On March 22, 2016, Utah Governor Gary Herbert signed into law the Post-Employment Restrictions Act (H.B. 251), which limits the duration of post-employment noncompete agreements between employers and employees to a maximum of...more

Dorsey & Whitney LLP

How does Utah’s New Noncompete Law Affect You?

Dorsey & Whitney LLP on

Utah employers should update their form noncompete agreements to ensure they comply with the state’s new Post-Employment Restrictions Act. Employers of all sizes are subject to the Act, which was adopted by the Utah...more

Morgan Lewis

English Court Finds Shareholder Default Provisions Unenforceable as a Penalty

Morgan Lewis on

Decision serves as a reminder that careful consideration should be given to provisions dealing with the consequences of breaches of restrictive covenants and other terms of commercial agreements....more

Sands Anderson PC

Are You Sure Your Non-Compete is Enforceable?

Sands Anderson PC on

A recent article in Barron’s states that there has been a 60% increase in employers suing departing employees for violating non-competition agreements in the past decade. Overzealous restrictions may be stifling...more

25 Results
 / 
View per page
Page: of 1

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
- hide
- hide