News & Analysis as of

Employment Litigation Choice-of-Law

WilmerHale

Post-Mortem on the FTC’s Blocked Non-Compete Rule

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In August 2024, a Texas federal court struck down a broad Federal Trade Commission (FTC) rule that would have banned the vast majority of employee non-competition agreements. ...more

Saul Ewing LLP

Sausage Race Heats Up: Hormel Foods Sues Sausage Competitor Johnsonville Claiming Trade Secrets Misappropriation

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Just in time for grilling season in the Midwest, Hormel Foods Corporation (“Hormel”) filed a federal lawsuit in the District of Minnesota against its competitor, Johnsonville, LLC (“Johnsonville”), and two former Hormel...more

Sheppard Mullin Richter & Hampton LLP

Choice-of-Law Provisions Cannot Circumvent Ending Forced Arbitration Act, Court of Appeal Rules

On February 3, 2025, the California First District Court of Appeal held that a party to an arbitration agreement cannot rely on a choice-of-law provision to wire around the federal Ending Forced Arbitration of Sexual Assault...more

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

Seventh Circuit Rules Forfeiture-for-Competition Clauses Under Delaware Law Enforceable and Not Subject to Reasonableness Review

In 2021, LKQ Corporation (LKQ) filed suit against Robert Rutledge, its former plant manager, in the U.S. District Court for the Northern District of Illinois. LKQ alleged that Rutledge’s working for a competitor within nine...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

Benesch

First Circuit Declines to Enforce California’s Out-of-State Noncompete Ban

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On September 26, 2024, a Boston-based federal appeals court refused to extend California’s sweeping noncompete ban to agreements that were signed outside the state and governed by another state’s law....more

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

California Appeals Court Finds Employer’s Arbitration Agreement With Cost-Sharing and Out-of-State Law Provisions Unconscionable

In a recent ruling, a California appeals court found an arbitration agreement with an eyewear store employee that was presented on a take-it-or-leave-it basis required an arbitrator to apply the laws of another state,...more

Mitchell, Williams, Selig, Gates & Woodyard,...

Non-Compete Agreements: Increased Litigation on the Backside of the "Great Resignation"

Our business clients tell us everyday what we are all seeing in the headlines on a regular basis: employees are hard to hire and retain. Some commentators have coined the term “the great resignation” to aptly describe the...more

Sheppard Mullin Richter & Hampton LLP

California Labor Code Section 925: A Word of Caution for Out-of-State Employers of California Employees

Employers faced with an apparent trade secret misappropriation by former employees must decide what jurisdiction to bring suit in.  For an employer headquartered outside of California who employs California residents  working...more

Sheppard Mullin Richter & Hampton LLP

Ninth Circuit Upholds Application of California Labor Code To Contractual Forum-Selection and Choice-of-Law Clause To Keep Dispute...

This month, the Ninth Circuit’s decision in DePuy Synthes Sales v. Howmedica Osteonics  held that a U.S. district court in California properly invalidated a foreign choice-of-law and forum selection provision under California...more

CDF Labor Law LLP

Employee Prevented from Pursuing Class Claims For Unpaid Wages

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Last week a California Employer secured a victory when the California Court of Appeal held that the employer’s general California choice-of-law provision in its employment agreement did not entitle the employee to pursue...more

Epstein Becker & Green

[Virtual Event] Hot Employee Mobility Issues in the COVID-19 Era - November 12th, 12:00 pm - 1:00 pm ET

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COVID-19 has not only created a plethora of workplace safety, accommodation, and leave issues, it has also created new employee mobility challenges for employers: - How can employers maintain the “trade secret” status of...more

Nutter McClennen & Fish LLP

First Circuit Enforces Delaware Choice-of-Law Provision in Massachusetts-Based Non-Competition Agreement

The Court of Appeals for the First Circuit found that a Delaware choice of law provision in a non-competition and non-solicitation agreement with a former Massachusetts employee was sufficient to invoke Delaware law. Notably,...more

Seyfarth Shaw LLP

The First Circuit Weighs in on the Applicability of Massachusetts’ Non-Compete Law

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Late last spring we reported on the second published decision out of the District of Massachusetts citing the Massachusetts Noncompetition Agreement Act (“MNCA”), NuVasive, Inc. v. Day....more

Fisher Phillips

New Jersey Wage Law Not Meant To Protect Out-Of-State Employees

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A federal court recently held that New Jersey’s Wage Payment Law (NJWPL) does not extend to employees working outside the state, even if the employer is headquartered there. The April 3 decision in Ortiz v. Goya Foods, Inc....more

Foley & Lardner LLP

Tfue v. FaZe Clan: Three-Ring Litigation Circus to Continue in 2020

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In May 2019, the esports industry was rocked when Turner Tenney – the famed Fortnite player and streaming star known as “Tfue” – sued the well-known esports and media company FaZe Clan in California state court. The suit...more

Carlton Fields

Eleventh Circuit Clarifies Standard for New York Convention’s Public Policy Defense to Foreign Arbitration Awards

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The dispute involved an arbitration related to alleged medical malpractice by doctors selected by Carnival Cruise Lines to treat a wrist injury of a Serbian employee of Carnival. The employee’s employment agreement with...more

Payne & Fears

Key California Employment Law Cases: April 2019

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This month's key employment law cases address the enforcement of arbitration agreements. Diaz v. Sohnen Enters., 34 Cal. App. 5th 126, 245 Cal. Rptr. 3d 827 (2019) Summary:  When employee continues his or her employment...more

Jackson Lewis P.C.

Delaware Court Grapples With Enforcement Of Choice Of Law Provisions In Restrictive Covenant Agreements

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When implementing restrictive covenant agreements in their workforces, companies often grapple with how best to handle the wide variation in the law from one state to the other. One solution is to include a choice of law...more

Nutter McClennen & Fish LLP

SJC Finds Massachusetts Choice of Law Provision Unenforceable as to California Employee

Last month, the Supreme Judicial Court dismissed a suit brought by a Massachusetts employer to enforce a non-compete on its California-based employee on the ground of forum non conveniens. The SJC held that the non-compete’s...more

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

Massachusetts Court Provides Guidance on Choice of Law and Forum Selection Clauses in Restrictive Covenants

With Massachusetts’s comprehensive noncompete law taking effect on October 1, 2018, many employers are reviewing and likely revising their restrictive covenants to ensure that they are compliant with the new law. In...more

Nutter McClennen & Fish LLP

Overriding a Massachusetts Forum-Selection Clause, SJC Affirms JudgeSalinger’s Dismissal of a Company’s Case against a Former...

Last summer, Judge Salinger ruled in Oxford Global Resources, LLC v. Hernandez that a plaintiff employer’s litigation against a former employee belonged in California, not Massachusetts. The defendant was employed in...more

Polsinelli

Ninth Circuit Certifies Questions to California Supreme Court Regarding Applicability of California Employment Laws to Mobile...

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In three separate cases involving airline employers, the U.S. Ninth Circuit Court of Appeals recently certified five questions to the California Supreme Court for guidance on whether California’s labor code provisions apply...more

Carlton Fields

Arbitration Agreement Selecting Maryland Law Held Unenforceable As To Private Attorney General Claims Brought Under California Law

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A choice of law provision within an arbitration agreement selecting Maryland law was held unenforceable in so far as it would result in waiver of claims under the California Private Attorneys General Act (PAGA), contrary to...more

Littler

How to Know Which Jurisdiction’s Employment Laws Reach Border-Crossing Staff: A Comprehensive Guide to International...

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For the vast majority of employment relationships around the world,choice-of-law analysis is a non-issue that we rarely ever think about. Obviously (for example), a Paris-resident baker working locally for a French bakery is...more

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