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Non-Compete Agreements › Restaurant Industry

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 -
Davidoff Hutcher & Citron LLP

Restrictive Covenants in Restaurant Ownership Agreements: Enforceability in New York

Davidoff Hutcher & Citron LLP on

Restrictive covenants are critical in restaurant ownership agreements to protect business interests, prevent unfair competition, and safeguard proprietary information. However, in New York, courts scrutinize these clauses to...more

ArentFox Schiff

Beverage & Food Industry in 2024: 10 Hot Topics for Beverage & Food Industry Founders, Investors, and Executives

ArentFox Schiff on

2023 was a pivotal year for the beverage and food industry globally, creating new categories of winners and losers across the board. With a full year of operations largely relieved of pandemic-era restrictions, restaurant...more

Fisher Phillips

Workplace Law Forecast 2024 - Your workplace law recap for 2023 and predictions for 2024 to help you prepare for the coming year.

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When I reflect on the relationship that our firm has with our clients, I’m most proud of the fact that you can always count on us. That often means defending complex litigation, steering you through regulatory threats,...more

Fisher Phillips

The Top 18 Workplace Law Stories from August 2021

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It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

King & Spalding

The Rise in Ghost Kitchens

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The introduction of meal delivery apps, including UberEats, GrubHub and DoorDash, has expanded e-commerce in the food industry and increased the size of the food delivery market. Over the last five years prior to the start of...more

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

Compass: Insights And Direction For Employers – Winter 2020

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

With the start of a new year, in-house counsel and human resources professionals will want to be aware of what’s on the horizon for 2020 and beyond. It’s a good time for employers to take a breath and consider what issues...more

Seyfarth Shaw LLP

Fettucine Al Fraudo—New York Pizzaiolo in Hot Water After Alleged Theft of Secret Pasta Recipe

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Manhattan restaurant Sottolio, Inc., d/b/a Norma Gastronomia Siciliana hired Giuseppe Manco—“a noted Italian pizza chef, or pizzaiolo”—to consult on its menu. At the same time, Manco and his wife purchased a 9% interest in...more

Lewitt Hackman

FRANCHISOR 101: Thrust Into Antitrust

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Jimmy John’s will face antitrust claims, after an Illinois federal judge declined to dismiss allegations in a class action. Plaintiffs claim the chain’s franchise agreement harmed competition by preventing franchisee...more

Lewitt Hackman

FRANCHISEE 101: Til Expiration Do Us Part

Lewitt Hackman on

Though an individual owner and operator of a formerly franchised Church's Chicken restaurant in Texas was not a signer of the franchise agreement, a district court ruled the individual was subject to the agreement's...more

Lewitt Hackman

FRANCHISOR 101: Injunction Bottleneck

Lewitt Hackman on

A restaurant franchisor, World of Beer Franchising ("WOB"), recently lost an appeal to enforce a post-termination restriction against a franchisee launching a competing business. Both the trial and appellate court ruled...more

Parker Poe Adams & Bernstein LLP

Jimmy John's Settlement Cautions Employers Over Widespread Non-Compete Use

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The Jimmy John’s sandwich chain recently settled state law claims in Illinois relating to its former requirement that hourly restaurant employees sign non-competition agreements that prohibit them from working for a competing...more

Orrick - Trade Secrets Group

Government Attacks on Non-Compete Agreements Continue

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Non-compete agreements have long been used by employers as an effective tool to protect their valuable trade secrets and confidential information. However, employers’ overuse of non-compete agreements and employers’ practice...more

Franczek P.C.

New Illinois Law Restricts Use of Employee Non-Compete Agreements

Franczek P.C. on

Governor Bruce Rauner has signed into law the Illinois Freedom to Work Act, prohibiting private sector employers from requiring their “low-wage employees” to sign non-compete agreements. The Act takes effect on January 1,...more

Sheppard Mullin Richter & Hampton LLP

Illinois Limits Non-Compete Agreements Yet Again

Sheppard Mullin Richter & Hampton LLP on

On August 19, 2016, Governor Bruce Rauner officially signed into law the Illinois Freedom to Work Act (the “Act”), with an effective date of January 1, 2017. The Act, while short and to the point, will have a significant...more

Orrick - Trade Secrets Group

RIGHT IN THE BREADBASKET: Lessons From Early Cases at the Intersection of Noncompetes and the DTSA

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As many TSW readers are aware, 2016 has been a big year for trade secret law, with both the United States and the European Union expanding trade secrets protections and increasing the uniformity of their laws. But as good as...more

Littler

NY Attorney General Schneiderman Declares “War” on Non-Compete Agreements That He Perceives as Overbroad

Littler on

In an initiative that is virtually without precedent in New York, in the past two months (June 15, June 22 and August 4) Attorney General Schneiderman announced agreements with three separate companies in three different...more

Orrick - Trade Secrets Group

Government Involvement in Noncompetes… Against a Sandwich Maker?! Jimmy John’s Slapped With Another Lawsuit, This Time Brought by...

Orrick - Trade Secrets Group on

Jimmy John’s can’t seem to escape the limelight. Last year, the company made headlines when employees hit it with a putative class action lawsuit seeking to invalidate their non-compete agreements. The District Court...more

Nutter McClennen & Fish LLP

Illinois Attorney General Sues Jimmy John’s Over Non-Competes

Nutter McClennen & Fish LLP on

Last week, the Illinois Attorney General filed suit against Jimmy John’s, alleging that the company’s non-competes violate state law. These non-competes prohibit all employees, including sandwich makers, from working during...more

Franczek P.C.

Attorney General Madigan Sues Jimmy John’s over Non-Compete Agreements

Franczek P.C. on

On Wednesday, Illinois Attorney General Lisa Madigan filed suit against fast-food franchisor Jimmy John’s and several Jimmy John’s franchisees operating in Illinois claiming that Jimmy John’s and its franchises unlawfully...more

Baker Donelson

Franchisor Protected from Unfair Competition, Not All Competition

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The fine line between protecting your system's legitimate interests and trying to eliminate a competitor can be hard to define in advance. With social media so important for consumer businesses, the line is even more...more

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

Louisiana Federal Court Cautions Against Seeking Enforcement of Invalid Noncompete Agreements

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

In what should serve as a cautionary tale to employers with noncompete agreements, a federal court in the Eastern District of Louisiana allowed an unfair trade practices claim to survive against an employer that attempted to...more

Baker Donelson

Hospitalitas Newsletter - Spring 2015

Baker Donelson on

In This Issue: - The Next Hot Trend in Economic Development: Craft Beer - Class Action Attempt to Void Jimmy John’s Non-Competes Goes Stale - Use of Customer Survey Data Upheld in Hotel Franchise...more

Maynard Nexsen

A Franchise Chain's Non-compete Agreement Comes Under Congressional Scrutiny

Maynard Nexsen on

Tremors were felt throughout the franchise community when a recent article in The Huffington Post reported that the Jimmy Johns sandwich franchise is under Congressional scrutiny for its franchisees’ practice of requiring...more

Orrick - Trade Secrets Group

Backlash Against Jimmy John’s Non-Compete Agreement Highlights Risks of Overzealous Business Protection Measures

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The submarine sandwich franchise Jimmy John’s has come under fire recently following the publication of a broad non-compete agreement that it has allegedly required rank-and-file employees to sign. The non-competition...more

Pullman & Comley, LLC

Restaurant Wars: Restrictive Covenants for Chefs & Tandoori Chicken Tikka

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It’s the summer and let’s face it, our minds turn to mush. That’s why reality television thrives in the summer. Just the ones on food and dining alone could make up an evening: Chopped. Restaurant Impossible. The Next...more

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