News & Analysis as of

Shareholders Non-Compete Agreements

Hendershot Cowart P.C.

The Basics Of Shareholder Agreements

Hendershot Cowart P.C. on

You've set your business up with the Secretary of State. Now it's time to look inward and say, what do we need to properly run this business? Having governance documents in place, such as a shareholder agreement, is...more

Rivkin Radler LLP

The Family-Owned Business, Stock Options, And Personal Goodwill – a Smorgasbord of Tax Issues

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Many of us have encountered variations of the following scenario: a parent owns and operates a business; one or more of their children are employed in the business; as the children mature and become more experienced and...more

Dechert LLP

Delaware Chancery Court Invalidates Non-Compete, Continuing Trend

Dechert LLP on

The Delaware Chancery Court has issued yet another decision invalidating restrictive covenants, continuing a trend of recent decisions in which the court has refused to “blue-pencil,” or modify, covenants. In Sunder Energy,...more

Proskauer - Employee Benefits & Executive...

Sweeping Ban on Non-Compete Clauses Proposed by Federal Trade Commission

On January 5, 2023, the Federal Trade Commission (“FTC”) proposed an expansive new rule which would impose a near-complete ban on the use of noncompetes (the “Proposed Rule”) by employers. The Proposed Rule is the...more

Lowenstein Sandler LLP

Restrictive Covenants in Connection With a Sale of a Business Cannot be Overbroad

Lowenstein Sandler LLP on

Business owners and transaction lawyers who view non-compete agreements as standard in connection with the sale of a business should be careful not to overreach in imposing restrictive covenants on sellers in purchase...more

Proskauer - Law and the Workplace

Louisiana Expands Scope of Non-Competes Law to Include Partners, Shareholders and LLC Members

Louisiana’s amended non-competition statute (La. R.S. 23:921), which meaningfully expands the application of employment-related non-compete restrictions within the state, went into effect on August 1, 2020.  This amendment...more

Seyfarth Shaw LLP

Louisiana Expands its Non-Compete Statute in Favor of Companies

Seyfarth Shaw LLP on

In a strengthening of company contractual rights, the Louisiana Legislature recently expanded its state non-compete statute by permitting a corporation, partnership, or limited liability company to enter into agreements with...more

Epstein Becker & Green

Need to Know: Amendment to Louisiana Non-Compete Statute Took Effect on August 1, 2020

Louisiana has long had in its statutes one of the nation’s most distinctive non-compete laws, and that statute has just been amended in a subtle but important way. LA. R.S. 23:921 essentially provides that every agreement...more

White & Case LLP

How long is too long? Construing non-compete restrictions in shareholders’ agreements

White & Case LLP on

Non-compete restrictions for key stakeholders are common in shareholders' agreements. In Guest Services Worldwide v Shelmerdine, the Court of Appeal upheld a 12-month post-departure restriction, rejecting arguments that...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

Flaster Greenberg PC

Law @ Work Employer Newsletter - The Savvy Employer’s Guide to Legal Developments & Quirks that Affect the Workplace

Flaster Greenberg PC on

Welcome to the third edition of the Law @ Work Employer Newsletter. For those of you who read the Law @ Work blog, you know that the blog offers an in-depth analysis of important legal developments. This Newsletter fills in...more

Dickinson Wright

Franchise & Distribution News, Number 2

Dickinson Wright on

Ontario Passes New Legislation Governing Tips and Gratuities - Ontario restaurants, bars and other businesses with employees who receive some of their pay through tips and gratuities will face new laws governing how...more

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