News & Analysis as of

Non-Solicitation Agreements Confidential Information Employment Litigation

Lathrop GPM

Massachusetts Federal Court Grants Preliminary Injunction for Noncompete Violations, Denies Injunction for Trademark Infringement

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A federal court in Massachusetts recently granted, in part, a Motion for Preliminary Injunction as to enforcement of franchise agreement noncompete covenants but denied the motion as to claims of trademark infringement,...more

Fox Rothschild LLP

Two business court rulings offer insights on trade secret pleadings, employment agreements, and credibility

Fox Rothschild LLP on

Maven Advantage, Inc. and Square One Storm Restoration, LLC are competing roofing businesses. Maven alleged that two employees (Couch and Daniels) stole Maven’s trade secrets (customer lists) and then quit to work for Square...more

Seward & Kissel LLP

Employment Litigation Roundup: December 2024

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Arizona employer cannot exclude settlement communications from former employee’s retaliation complaint - In Flores v. Rafi Law Group PLLC, the plaintiff accused her law firm employer of retaliating against her by (i)...more

Mayer Brown

When Is Client Contact Information Confidential?

Mayer Brown on

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

Seward & Kissel LLP

Employment Litigation Roundup: November 2023

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Ex-employee’s golf outing with customer does not violate non-solicit - An auto parts manufacturer in Michigan sought a preliminary injunction against a former sales employee for violating his restrictive covenants,...more

Nutter McClennen & Fish LLP

Judge Strikes Fiduciary Duty Claims Asserted by FTI Against Former Employees, But Not Aiding and Abetting Claim Asserted by FTI...

FTI sued three of its former employees who went to work for Berkeley Research Group (Berkeley), an FTI competitor. The former employees, FTI alleged, breached their FTI employment contracts and their fiduciary duty of loyalty...more

Epstein Becker & Green

Employers with Illinois Employees: Revise Form Noncompete and Nonsolicitation Provisions Before January 1, 2022

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Governor J.B. Pritzker recently signed into law Public Act 102-0358 (“Act”), which dramatically reforms the law in Illinois governing both noncompete and nonsolicit provisions. The Act is not retroactive, and goes into effect...more

FordHarrison

Non-Compete News: No-Hire Provisions Under the Georgia Restrictive Covenants Act

FordHarrison on

Executive Summary: The Georgia Restrictive Covenants Act (O.C.G.A. § 13-8-50, et seq.) (“RCA”) governs restrictive covenant agreements in Georgia entered into after May 2011. The RCA expressly addresses non-compete,...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

Littler

Colorado Court Decides Issue of First Impression on Restrictive Covenants

Littler on

The Colorado Court of Appeals recently decided an issue of first impression regarding noncompetition and nonsolicitation agreements. The decision in 23 LTD v. Herman highlights an important consideration for Colorado...more

Coblentz Patch Duffy & Bass

Another Warning Shot On Employee Nonsolicit Agreements

It’s time to take another hard look at whether it’s worth it for employers to ask their departing employees not to recruit anyone away after they leave. Nobody wants their former employees to raid the ranks of their current...more

Orrick - Trade Secrets Group

Another California Court Raises Doubts on Employee Non-Solicitation Provisions

Last November, we discussed the potential impact of a recent California appellate court decision, AMN Healthcare, Inc. v. Aya Healthcare Services, Inc., 28 Cal. App. 5th 923 (2018), which called into question long-standing...more

FordHarrison

Non-Compete News: Is a Non-Solicitation of Employees Provision Enforceable in California?

FordHarrison on

Last month, California’s Fourth District Court of Appeal issued AMN Healthcare, Inc. v. Aya Healthcare Servs., Inc., 28 Cal. App. 5th 923 (Cal. Ct. App. 2018), a decision calling into question the validity of non-solicitation...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

FordHarrison

Non-Compete News: Georgia Court of Appeals Confirms Lack of Geographic or Material Contact Limitation Does Not Invalidate...

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Georgia’s recent Restrictive Covenant Act, enacted in 2011, does not directly address non-solicitation of employees a/k/a non-recruitment covenants, thereby leaving such provisions subject to the principles developed by...more

Seyfarth Shaw LLP

The Third Circuit Addresses the Defend Trade Secrets Act and Appears to Have Applied the Inevitable Disclosure Doctrine

Seyfarth Shaw LLP on

The Defend Trade Secrets Act (DTSA) states very clearly that an injunction issued pursuant thereto may not “prevent a person from entering into an employment relationship,” and that any conditions placed on a former...more

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