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Former Employee Contract Terms Employment Litigation

Parker Poe Adams & Bernstein LLP

Commission Plans Should Address Salespersons' Departure

When a commissioned salesperson leaves employment, the most common dispute we encounter involves that employee’s entitlement to payment of commissions after their departure date. ...more

Mayer Brown

When Is Client Contact Information Confidential?

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Confidentiality is a key consideration in any commercial endeavour. To retain a competitive edge in the market, a business will often do its utmost to maintain the confidentiality of client information and business...more

Mayer Brown

Hong Kong Court Clarifies the Application of Implied Terms in Employment Contracts

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The recent case of Yang Zhizhong v. Nomura International (Hong Kong) Limited helpfully clarifies the applicability of Implied Term of Trust and Confidence, the Braganza duty and the Anti-avoidance Term in the context of...more

BCLP

HK High Court Refuses to Enforce a 12-month Worldwide Non-compete Covenant

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In Manulife Financial Asia Limited and Kenneth Joseph Rappold & Others [2024] HKCFI 989 (date of decision: 5 April 2024), the Hong Kong High Court refused a company’s application to enforce a 12-month non-compete clause...more

Parker Poe Adams & Bernstein LLP

When Can an Employer Claim Ownership of Employees' Social Media Accounts?

We have become involved in an increasing number of disputes between companies and their former employees over ownership and use of personal social media accounts. In a typical situation, the employee will use their personal...more

Sands Anderson PC

NLRB’s McLaren Macomb Decision and the Future of Employee Severance Agreements

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Severance agreements have long been utilized as a valuable tool for providing employers with protections from the post-employment conduct or claims of former employees. Severance agreements often include a wide range of...more

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

Georgia Appellate Court Says Employee Nonsolicitation Covenant Not Enforceable Without Express Geographic Limitation

In a recent decision, a Georgia appellate panel held that an employee nonsolicitation covenant that limits what parties can do following the end of a business relationship must have an explicit geographic limitation to be...more

Stoel Rives - World of Employment

NLRB Returns to Longstanding Position Limiting Use of Confidentiality, Non-Disclosure, and Non-Disparagement Clauses in Employee...

The General Counsel of the National Labor Relations Board (NLRB), Jennifer A. Abruzzo, issued guidance on March 22, 2023, about the NLRB’s McLaren Macomb, 372 NLRB No. 58, decision from February 21, 2023, which reinstated a...more

Parker Poe Adams & Bernstein LLP

North Carolina Business Court Dismisses Overbroad Non-Compete

When we are asked by a client to review their form employee non-competition agreement, we often see companies using documents found on the internet that were clearly written for use in states other than North Carolina. Last...more

Adler Pollock & Sheehan P.C.

The End Of An Era, Separation Agreements In The Wake Of Mclaren Macomb: What Employers Need To Know

The National Labor Relations Board’s (the “Board”) decision in McLaren Macomb, significantly changes what employers are allowed to include in a departing employees’ severance/separation agreements or packages.  The Board’s...more

Dentons

Severance Agreements – Federal Implications

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In the last article, we covered an Iowa Court of Appeals case relating to severance/separation agreements and whistleblower claims. Other issues have cropped up regarding severance agreements and their enforceability but on...more

Akerman LLP - HR Defense

Employers Beware: The NLRB Limits Severance Agreements

The National Labor Relations Board (NLRB or Board) is making waves yet again. This time the NLRB has held that certain confidentiality and non-disparagement clauses in severance agreements violate Section 7 rights under the...more

Pullman & Comley - Labor, Employment and...

The NLRB Issues a Decision Impacting Non-disparagement and Confidentiality Provisions in Severance Agreements

The National Labor Relations Board (NLRB) recently indicated that when drafting severance or general release agreements, employers have to rethink how they use standard non-disparagement and confidentiality clauses. On...more

Bodman

NLRB Narrows Permissible Terms in Severance Agreements

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The National Labor Relations Board (“NLRB”) has ruled that that including certain non-disparagement and confidentiality provisions in severance agreements violates the National Labor Relations Act (“NLRA”). In McLaren...more

Fenwick & West LLP

NLRB Holds that Severance Agreement with Broad Confidentiality and Non-Disparagement Covenants Violates the NLRA

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On February 21, 2023, the National Labor Relations Board (NLRB) held that including broad confidentiality and non-disparagement clauses in severance agreements violates the National Labor Relations Act (NLRA)...more

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

New Jersey Appellate Division Declares Nondisparagement Provisions Valid Under State Law

In a decision that may be useful to employers drafting severance and litigation settlement agreements in New Jersey, a panel of the New Jersey Appellate Division found that provisions requiring parties not to disparage one...more

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

Texas Supreme Court Clarifies Standard for Payment of Commissions When an Employment Agreement Is Silent

For many years, an oft-litigated question concerned whether a former employee was owed the commissions on sales made prior to the employee’s discharge from employment. Sometimes employment agreements were clear on the issue,...more

Kohrman Jackson & Krantz LLP

Suing A Former Employee Under An NDA Has Substantial Risks… Even If You’re Donald Trump

In what appears to be the largest attorney fee award against a political campaign or president, an arbitrator ordered Donald J. Trump for President, Inc. to pay $1.3 million in legal fees and $17,300 in costs to former White...more

Epstein Becker & Green

California Court of Appeals Holds That No Initials Are of “No Legal Consequence” To Enforce Arbitration

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On July 8, 2020, the California Court of Appeals held that when an employee fails to initial a specific part of an arbitration agreement, but still signs it, the agreement is still enforceable....more

FordHarrison

Non-Compete News: Georgia Court Holds Contractor Owes Fiduciary Duty/Duty of Loyalty

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In late 2019, the Northern District of Georgia (Atlanta federal court) addressed the duties owed when an independent contractor leaves one trucking company to work for another. In Wind Logistics Prof’l v. Universal Truckload,...more

Franczek P.C.

A Not So Sweet Deal for Employers Seeking to Protect Trade Secrets Under the Inevitable Disclosure Doctrine

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An Illinois appellate court recently clarified the outer limits of the controversial “inevitable disclosure doctrine” under the Illinois Trade Secrets Act....more

Seyfarth Shaw LLP

Close Was Not Close Enough: First Circuit Denies Executive’s Implied Covenant Claim For Unpaid Equity Compensation Related To A...

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Seyfarth Synopsis: On November 27, 2019, the United States Court of Appeals for the First Circuit held that, under Massachusetts law, a terminated employee asserting a claim for being deprived of lost compensation in breach...more

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

California Prohibits Most “No Rehire” Provisions in Settlement Agreements

Employment litigation settlement agreements often include a mutually negotiated “no-rehire” provision by which the departing employee agrees not to seek employment with the company in the future. A recently enacted California...more

Faegre Drinker Biddle & Reath LLP

Colorado Court of Appeals Declines to Revise Overly Broad Noncompetition Agreements

Colorado employers may want to consider whether their noncompetition agreements are narrowly tailored to meet their needs or whether some revision may be prudent, in light of a decision rendered by the Colorado Court of...more

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

Louisiana Court Finds Nonsolicitation/Noncompetition Agreement Is Enforceable

When Jay Baker, the vice president of Causin, L.L.C., quit to create a competing business, Causin sued to enforce Baker’s nonsolicitation/noncompetition agreement. Baker defended the claim in part by arguing the agreement’s...more

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