Employment Law Now VIII-150 - The FTC Noncompete Rule is Dead: What Now?
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What's the Tea in L&E? Alert: Non-Compete Agreements Largely Banned by New FTC Rule
A recent decision by EDVA District Judge Henry Hudson granting a preliminary injunction to a wealth management firm against four of its former employees who left to open a competing firm is a good example of the speed of the...more
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
Non-compete provisions have long been viewed by employers as reasonable and appropriate velvet handcuffs on departing employees and as an unfair burden on competition by the departing employees. The purpose of non-compete...more
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
In a recent matter before the Arnhem-Leeuwarden Appellate Court, an employer in the Netherlands attempted to hold a former employee to his non-compete clause. After the employee had terminated his employment contract, the...more
In June of 2022, McDonald’s obtained a judgment on the pleadings, ending antitrust litigation challenging the legality of the no-hire restraints it previously included in its franchise agreements. More than a year later, the...more
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
Following the recent declaration that certain confidentiality and non-disparagement clauses in severance agreements are unlawful, the National Labor Relations Board (NLRB) General Counsel released a memo on May 30, 2023 (GC...more
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
A recent Sixth Circuit decision upholding an employer’s non-compete agreement with a former employee highlights the need for legal counsel to craft preliminary injunction language in such matters which reflects the unique...more
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
Over the past two years, employee mobility seems to be at an all-time high. In fact, the labor market is so fluid that pundits and experts often refer to it as the “Great Resignation.” Although employee mobility can be a...more
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
Thanks to a recent ruling by the Supreme Court of Pennsylvania, workers in the Commonwealth are now more likely to be considered “fair game” to other potential employers, even in the presence of an agreement otherwise between...more
The Pennsylvania Supreme Court recently decided an issue of first impression regarding “no-hire” (or “no-poach”) provisions in commercial contracts between two companies. In such agreements, one company agrees not to solicit...more
In a decision resolving a dispute that has been pending for nearly five years, the Supreme Court of Pennsylvania just voided a no-hire provision entered into by two companies that bound one of them from hiring former...more
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
Since the onset of COVID-19 and the related business shut-downs, employers across the country have been forced to make the difficult decision to lay off or terminate many of their employees. Of the tens of millions who have...more
In a recent opinion, the Fairfax Circuit Court deemed unenforceable the non-compete and employee non-solicitation provisions of two doctors who had performed work for the United States Army on behalf of a government...more
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
An Illinois appellate court recently clarified the outer limits of the controversial “inevitable disclosure doctrine” under the Illinois Trade Secrets Act....more
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
Do your employees sign arbitration agreements? If so, do your arbitration agreements prevent employees from joining class actions against your company? Does your company want to start requiring arbitration agreements? If...more
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
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