The Federal Trade Commission isn’t finished with noncompetes. It is gathering information to understand when these agreements cause real harm and when they may serve legitimate business purposes. Case in point: its latest enforcement action against an employer that allegedly relied on broad, boilerplate restrictions. Continue reading
Noncompetes are under pressure. Federal regulators have wanted to ban them. States like California, Minnesota, and Oklahoma already have. And even where they remain technically legal, courts are increasingly skeptical—especially when the restrictions go further than necessary. Continue reading
With most eyes focused on a pending lawsuit in the United States District Court for the Eastern District of Pennsylvania to eliminate the FTC’s noncompete ban, local employers may have missed the news last week that Governor Shapiro signed into law a measure restricting the use of non-competition agreements in the healthcare industry.
The Federal Trade Commission isn’t the only government agency gunning for your company’s noncompetes.
Earlier this month, a National Labor Relations Board Administrative Law Judge ruled that a non-union employer violated the National Labor Relations Act by utilizing unlawful noncompete and nonsolicitation provisions in employment agreements. Continue reading
I’ve litigated many battles between companies over trade secrets and non-competition and non-solicitation agreements. The tie that binds them all is that these cases are expensive to prosecute and defend. Continue reading
User:VasilievVV and user:Jarekt [Public domain], via Wikimedia Commons
The rest of you deadbeats are stuck with only five free weekly blog posts. Continue reading
Especially if you overlook that non-solicitation agreement you signed with your prior employer… Continue reading
Imagine that one of your top salespeople leaves to go to work for a competitor. At least you had the foresight to have her sign a nonsolicitation agreement as a condition of employment. So, your customers are safe.
Then again… Continue reading
Your former employee, the one whom you paid an extra boat load of money to sign a non-solicitation agreement, just sent a bunch of LinkedIn invites to connect with some of your current employees.
The Employer Handbook Blog