News & Analysis as of

Contract Drafting Non-Compete Agreements Contract Terms

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

Washington State Updates and Clarifies Noncompetition and Nonsolicitation Law

The 2024 Washington State Legislature passed Substitute Senate Bill (S.S.B.) 5935 in February 2024, and Governor Jay Inslee signed the bill into law on March 13, 2024, updating and clarifying Washington law regarding...more

Whitman Legal Solutions, LLC

What Parties Need to Know About Non-Competition, Non-Solicitation, and Non-Circumvention Provisions

Non-competition, non-circumvention, and non-competition provisions don’t only appear in employment contracts; they also are common in contracts for the sale of a business or real estate. This article is part of a series on...more

BakerHostetler

Delaware Court Raises Eyebrows by Striking Down Noncompete in Sale Transaction

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The Delaware Court of Chancery (the Court) has raised eyebrows with a recent decision, in the case of Kodiak Building Partners, LLC v. Adams, to strike down a noncompetition covenant binding upon a seller in a sale...more

Parker Poe Adams & Bernstein LLP

North Carolina Noncompetes - What is Legal "Consideration?"

As previously discussed, post-employment noncompetes require thoughtful drafting and implementation in order to be enforceable in North Carolina. Courts and judges don’t like them, but they can be an incredibly valuable tool...more

Holland & Knight LLP

Employee Talent Wars Gain Unprecedented Ammunition from Changing Antitrust Landscape

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The current labor market is fraught with challenges for employers. In the wake of the COVID-19 market disruptions, the demand for employees, especially for experienced or highly trained employees, far exceeds the supply....more

Verrill

Executive Decisions – Putting in Place Effective Employment Agreements for Company Executives

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During this webinar, attorneys Doug Currier and Scott Connolly discussed best practices for putting in place effective executive employment agreements, including inbound agreements and separation agreements. Topics discussed...more

Hogan Lovells

Client Alert: Virginia Court Invalidates Government Contractor’s Non-Competition and Non-Solicitation Agreement with Independent...

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In January 2020, Judge John Tran of the Fairfax County Circuit Court in Virginia held unenforceable non-competition and non-solicitation provisions in a government contractor’s consulting agreements entered into with...more

Seyfarth Shaw LLP

Massachusetts’ High Court Pumps the Brakes on Equitable Tolling of Restrictive Covenant

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For the first time in 15 years, the Supreme Judicial Court (“SJC”), Massachusetts’ highest court, issued a decision analyzing the enforceability of non-solicitation covenants, the distinction between such covenants in the...more

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

Louisiana Court Upholds Ruling Allowing for the Reformation of a Noncompetition Agreement

The Louisiana Second Circuit Court of Appeal recently held that a noncompetition provision under La. R.S 23:921 affecting a former member of an accounting limited liability company (LLC) could be reformed when the scope of...more

Seyfarth Shaw LLP

Will we win? The odds of success in restraint of trade cases

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When an ex-employee goes to a competitor or starts poaching clients or staff, employers often look to a restraint of trade clause to protect key business assets such as client relationships or company confidential...more

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

Overbroad Geographic Restriction Dooms Covenant Not to Compete

Texas law allows for the enforcement of covenants not to compete that impose reasonable restrictions on competition. Texas courts frequently enforce geographic and other restrictions on a former employee’s ability to compete...more

Seyfarth Shaw LLP

The Post-Employment Restraint As A Business Asset

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This is the case now more than ever given that the Supreme Court of Victoria’s decision in Just Group Limited v Peck [2016] VSC 614 (later affirmed on appeal) has arguably raised the bar for correctly drafting an effective...more

BCLP

Post-Contractual Non-Competes – a never ending story

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There are few clauses in employment contracts more heavily debated than Non-Competition Clauses (post-contractual non-competes). While employers tend to include them rather easily in order to protect company secrets beyond...more

FordHarrison

Non-Compete News: Is Your Non-Compete Clause Too Broad? An Illinois Court Offers Guidance

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When drafting restrictive covenants, employers face a common dilemma about the scope of activities to be restrained. On the one hand, highly focused non-compete language tends to be more enforceable but might not protect the...more

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

Careful Drafting Required: Restrictions on Employee Solicitation Subject to Wisconsin Non-Compete Law

Many employers want to prevent their trusted employees from leaving the company and poaching their employees. In Manitowoc Company, Inc. v. Lanning, No. 2015AP1530 (January 19, 2018), the Supreme Court of Wisconsin examined a...more

Brooks Pierce

A Few Things To Avoid When Drafting A North Carolina Covenant Not To Compete

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The Business Court closely examined a set of restrictive covenants last week in Sandhills Home Care,, LLC v. Companion Home Care-Unimed, Inc., 2016 NCBC 59. This decision collects a number of North Carolina Court of Appeals...more

Womble Bond Dickinson

Non-Compete Agreements Cannot be "Reasonable-ized" by Court--Even with the Parties' Consent

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Yesterday, the Supreme Court stiffened its stern treatment of non-compete agreements. At issue in Beverage Systems was a non-compete clause that allowed the trial court to modify its geographic scope if the court determined...more

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

Illinois Court Leaves Former Employer Without Remedy After Invalidating Its Overly Broad Restrictive Covenants

Just days before Halloween, the Illinois Appellate Court sent a scary message to employers: We will not enforce or judicially modify your overly broad restrictive covenants! In AssuredPartners, Inc. v. Schmitt, No. 13 CH...more

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