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Trading Secrets A Law Blog on Trade Secrets, Non-Competes, and Computer Fraud

Video Interview: California Appellate Court Rules Non-Compete In Key Employee Agreement Unenforceable Despite “Sale of Business” Exception

Posted in Non-Compete Enforceability, Practice & Procedure, Restrictive Covenants

Early last week, we wrote a post on a unique circumstance in which a non-compete agreement was ruled unenforceable by the California Court of Appeal despite the fact that it was executed pursuant to the sale of a business.  (Fillpoint, LLC v. Maas (August 24, 2012)). Following up on that post, I had the chance to speak with Colin O’Keefe of LXBN regarding the subject. In the interview, I explain the background of the case, the court’s reasoning behind its decision, and what other companies can learn from the case: