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What's the Tea in L&E? Alert: Non-Compete Agreements Largely Banned by New FTC Rule
On April 23, the Federal Trade Commission (FTC) issued a final rule that would ban the use of noncompete agreements in most employment contracts nationwide. Hailed by the Commission as a measure to promote competition,...more
With the issuance of the Federal Trade Commission's (FTC or Commission) much-anticipated final rule on its "non-compete ban" (see Holland & Knight's previous alert, "New FTC Rule Bans Non-Compete Agreements in All Employment...more
The New York Knicks just sued their former employee and his new employer, the Toronto Raptors, in a case that can teach employers a lot about trade secret misappropriation. The August 21 lawsuit accuses their Eastern...more
On January 5, 2023, the Federal Trade Commission (FTC) proposed a new rule that would prohibit new and require the rescission of all non-compete agreements as an “unfair method of competition.” The proposed rule defines a...more
The "inevitable disclosure" doctrine permits the plaintiff in a trade secrets case to establish threatened misappropriation by showing that the defendant's new employment will inevitably lead the defendant to rely on the...more
Trade secret litigation presents a variety of procedural and practical complexities at every stage of the proceeding. One of the most important—yet often overlooked—issues in these cases can be summarized by the following...more
A storm is brewing in the intellectual property world, and it’s heading straight for trade secrets. With millions of Americans quitting their jobs each month — 4.3 million in December alone — and pandemic-stunned...more
Water treatment giant Ecolab Inc. sued its former marketing manager, Preston Alexander, and his new company, One Degree Medical, alleging Alexander stole trade secrets to set up a competing business in violation of his...more
Trade secrets and other proprietary information can be among a business’ most valuable assets and drive its competitive advantage. It is therefore ordinarily critical that employees be bound by an enforceable agreement that...more
Global Protein Prods., Inc. v. Le, 42 Cal. App. 5th 352 (2019) - Global Protein Products, Inc. (“GPP”) successfully sued its former employee Kevin K. Le for misappropriation of trade secrets, breach of contract and unfair...more
What do you do when a key employee leaves and you believe he/she has taken your company’s trade secrets to a competitor? Or when a strategic business partner uses your trade secret information to compete against you?...more
A trade secret is any information used in one's business that derives independent economic value from being kept secret. Unlike patents, trade secrets are protected indefinitely for as long as they remain a secret. Due in...more
Bass, Berry & Sims attorney Chris Lazarini provided insight on a case involving a plaintiff’s request for a temporary restraining order (TRO) against former employees who allegedly stole confidential client contact...more
Since 2016, the Defend Trade Secrets Act (DTSA) has provided employers with a federal cause of action against employees, former employees and other bad actors who misappropriate trade secrets. In addition to injunctive...more
Pittsburgh Logistics (PL) sued its competitor and former employee, alleging that the employee breached his employment agreement by working for the competitor and that he would inevitably disclose PL's confidential and trade...more
It’s among an in-house counsel’s worst nightmares. A former business partner, ex-employee, consultant, or competitor has stolen your company’s trade secret information. Company management demands swift action....more
A California federal district court recently granted a temporary restraining order (“TRO”) against a former employee for misappropriating proprietary and confidential information in violation of the Defend Trade Secrets Act...more
Addressing a bench trial decision concerning a former employee’s retention of confidential information and violation of a non-compete provision, the US Court of Appeals for the Fourth Circuit found no abandonment of the...more
From sweeping legislation to unexpected case law, and everything in between, 2018 brought a lot of changes to unfair competition law....more
On December 28, 2018, a three-judge panel of the Tenth Circuit Court of Appeals affirmed the holding by the U.S. District Court for the District of Colorado denying the plaintiff’s, DTC Energy Group, Inc. (“DTC Energy”),...more
Problem: A key member of the design team for your start-up company's upcoming product launch has just quit in a huff over compensation. He (or she) threatens to go to your primary competitor and share everything they know...more
Medidata brought suit against its competitor, Veeva, alleging that Medidata’s former employees, who eventually left the company to work for Veeva, violated their employment agreements which required them to protect Medidata’s...more
The Massachusetts General Court has passed legislation that, if signed by the governor, will comprehensively reform the law governing employee noncompetition agreements and trade-secret misappropriation. If enacted, these...more
In a recent decision, the Northern District of Illinois continued its trend of invalidating employment agreements, this time in regard to a non-solicitation provision it determined to be overbroad. In Call One, Inc. v....more
Federal Circuit Denies En Banc Rehearing in Mentor Graphics v. EVE-USA - In Mentor Graphics Corp. v. Eve-USA, Inc., Appeal Nos. 2015-1470, 2015-1554, 2015-1556, the Federal Circuit denied Synopsys’ and EVE’s petition for...more