News & Analysis as of

Enforceability

WilmerHale

Beating the Odds: First Circuit Doubles Down on Massachusetts Decision Enforcing Noncompete Against Sports Betting Executive Newly...

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Against a growing trend of legislation and broader efforts seeking to limit or eliminate post-employment noncompetition restrictions, recent Massachusetts and First Circuit decisions in a dispute between DraftKings and one of...more

Husch Blackwell LLP

Scope and Enforceability of Arbitration Clauses in Florida

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In October 2023, a New York medical doctor sat down for a fateful meal with her husband and her mother-in-law at a Florida restaurant owned by the adjacent theme park. The doctor, who suffered from severe nut and dairy...more

Morrison & Foerster LLP - Social Media

Lose Your Illusion: District Court Holds That Unilateral Modification Clause Makes TOS Unenforceable

On August 8, 2024, the U.S. District Court for the Eastern District of Virginia in Lovinfosse v. Lowe’s Home Centers, LLP addressed the enforceability of an arbitration clause in Lowe’s terms of service, serving as a reminder...more

Ballard Spahr LLP

Pennsylvania Supreme Court To Decide Enforceability of Online Arbitration Agreements

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As reported in Public Citizen’s Consumer Law & Policy Blog, the Pennsylvania Supreme Court recently agreed to review Chilutti v. Uber Technologies, Inc., in which a divided panel of the Pennsylvania Superior Court (and later...more

Benesch

Texas Federal Court Rejects FTC’s Non-Compete Ban

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As every employer in the U.S. is likely aware, the Federal Trade Commission’s (“FTC”) near-universal ban on non-competes nationwide, which the FTC voted to implement via regulatory rulemaking on April 23 of this year, has...more

Tucker Arensberg, P.C.

An Update on the Uncertain Future of the FTC’s Non-Compete Rule, Plus Pennsylvania Enacts New Non-Compete Law for Healthcare...

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Since it was first published in April, the fate of the Federal Trade Commission’s (FTC) final non-compete rule has been, to put it mildly, less than certain. Now, about a month before the rule is scheduled to take effect, the...more

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

FTC Noncompete Ban Rule Survives Challenge in Pennsylvania Federal Court, but Still Contested in Florida and Texas

On July 23, 2024, a judge in the U.S. District Court for the Eastern District of Pennsylvania denied a motion for preliminary injunction seeking to stay the effective date of the Federal Trade Commission’s (FTC) final...more

BakerHostetler

The Second Decision Is In: PA Court Finds FTC Noncompete Rule Enforceable, Creating Conflicting Decisions and Uncertainty

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On July 23, 2024, the United States District Court for the Eastern District of Pennsylvania issued a decision in ATS Tree Services, LLC v. FTC, which held that the Federal Trade Commission (FTC) had the authority to issue its...more

Strafford

[Webinar] Obviousness-Type Double Patenting and USPTO Proposed Rules for Terminal Disclaimers - Recent Court Treatment,...

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This CLE webinar will guide patent counsel on obviousness-type double patenting (ODP), including the recent decisions that have relied on Cellect. The panel will also discuss the USPTO's proposed terminal disclaimer rule and...more

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

Recent Court Rulings on FAA’s Transportation Worker Exemption May Require Employers to Update Their Arbitration Agreements

The U.S. Department of Labor estimates 56 percent of all nonunion private-sector employees are subject to mandatory arbitration agreements. Many employers use such agreements—and the class action waivers contained therein—to...more

Lathrop GPM

New Jersey Federal Court Partially Enforces Noncompete Covenant Against Former Franchisee

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A federal court in New Jersey recently granted a franchisor’s motion for a preliminary injunction, enjoining the former franchisee from using the franchisor’s marks and violating the franchise agreement’s noncompete clause,...more

Proskauer - California Employment Law

Employer May Not Challenge Voided Employment Agreements Via Interlocutory Appeal

Dominguez v. Better Mortgage Corp., 88 F.4th 782 (9th Cir. 2023) - Underwriter Lorenzo Dominguez filed this putative class and collective action against his former employer, alleging that the company failed to pay proper...more

Pillsbury Winthrop Shaw Pittman LLP

Delaware Court of Chancery Invalidates Certain Board Control Rights Commonly Found in Stockholder Agreements

The ruling calls into question the enforceability of common provisions contained in private and public company stockholder agreements. The Court invalidated certain governance rights in stockholder agreements because they...more

Dechert LLP

Navigating the Shift: The Future of Non-Compete Clauses

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At Dechert, we have been closely monitoring legal developments with respect to the use of non-competes and other restrictive covenants and have observed a growing trend in the United States, the United Kingdom and France...more

McGlinchey Stafford

Am I Entitled to a Bonus? - McGlinchey Commercial Law Bulletin - February 16, 2024

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Ohio- Enforceability of Arbitration Agreement- Bryan Costin v. Midwest Vision Partners LLC., 8th Dist. Cuyahoga No. 112651, 2024-Ohio-463. The Eighth District Court of Appeals recently affirmed the trial court’s ruling...more

BakerHostetler

Delaware Supreme Court Upholds Enforceability of Forfeiture-for-Competition Provisions in Limited Partnership Agreements,...

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The Delaware Supreme Court yesterday upheld the enforceability of forfeiture-for-competition provisions in limited partnership agreements, reversing the Court of Chancery, which had reasoned that such provisions should be...more

Lathrop GPM

Eleventh Circuit Affirms in Part, Reverses in Part, District Court Determination to Blue Pencil and Enforce Noncompete Agreement

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The Eleventh Circuit Court of Appeals recently affirmed in part, and vacated in part, a district court’s issuance of an injunction preventing a franchisor’s enforcement of a noncompete covenant as written but allowing...more

Holland & Knight LLP

Order Up: Restaurant's Arbitration Agreement Held Valid Without Its Signature

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As the restaurant industry continues to grapple with challenges against employee-arbitration clauses, the U.S. Court of Appeals for the Fifth Circuit has found that an arbitration agreement signed only by an employee is valid...more

Marshall Dennehey

Settlement Agreements at Mediation Must Be Put in Writing and Signed to Be Enforceable

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Gold Tree Spa, Inc., PD Nail Corp., et al., No. A-3748-21 (App. Div. Mar. 28, 2023) - The New Jersey Appellate Division affirmed the Law Division’s orders denying the defendants’ motion to enforce an unsigned settlement...more

Genova Burns LLC

Ending Forced Arbitration of Sexual Harassment, Not Discrimination

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Arbitration agreements are a powerful tool used by many employers to compel the utilization of arbitration as a means of alternative dispute resolution. Arbitration allows the parties of a claim to resolve the dispute...more

Seyfarth Shaw LLP

50 State Desktop Reference - What Businesses Need to Know about Non-Competes and Trade Secrets Law

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Introduction - As we enter a new era of business landscape dynamics, Seyfarth Shaw is pleased to present the latest edition of our annual cornerstone publication. This comprehensive 50-State Non-Compete Desktop Reference,...more

Holland & Knight LLP

Mandatory Arbitration and Class Action Waivers by Amendment: Easier Said Than Done

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In response in part to the dozens of cases filed throughout the country related to assessment of insufficient funds (NSF) and overdraft (OD) fees, many banks and credit unions have sought to add arbitration and class action...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

Saiber LLC

The Changing Landscape of Non-Competes and Restrictive Covenants

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A common example of a non-compete restriction is a new CPA who signs such an agreement as part of his or her onboarding paperwork. Years later, the CPA considers moving to another firm, or opening their own firm, but that...more

Foley & Lardner LLP

Enforceability of Emojis in Contracts: What Founders Need to Know Considering Recent Court Rulings

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In this age of digital communication, it was only a matter of time before emojis found their way into legally binding documents. Emojis are now being used as a means of expression and communication in various spheres of life,...more

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