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

Tag Archives: choice of law

New York Federal Court Denies Injunction to Enforce Restrictive Covenants Against Terminated Employee

Posted in Non-Compete Enforceability

Garrod, a salesman for more than 25 years in the field of elastomeric precision products (EPP), was terminated in mid-2012 after spending an aggregate of a dozen of those years working for manufacturers of EPP parts Fenner and a company acquired by Fenner.

He had signed both employers’ agreements containing non-compete and customer non-solicitation clauses–which appeared reasonable on their face–and … Continue Reading

California Federal Court Ships Fiduciary Duty and Unfair Competition Suit to Delaware Based Upon Forum Selection Clause

Posted in Breach of Fiduciary Duty, Non-Compete Enforceability, Practice & Procedure

By Robert Milligan and Grace Chuchla

Using a forum selection clause to transfer a case out of California federal court may have become easier thanks to a recent order from Judge Koh of the United States District Court for the Northern District of California.  In her order, Judge Koh granted defendants’ motion to transfer plaintiff’s complaint to Delaware federal … Continue Reading

Summary of the 2012 IP and the Internet Conference Presented by the State Bar of California

Posted in Data Theft, Espionage, Legislation, Trade Secrets, Unfair Competition

On September 14, 2012, the State Bar of California Intellectual Property Section presented its 2012 IP and the Internet Conference. The conference featured high level experts from companies such as Twitter, Yahoo!, Warner Bros. Entertainment, Salseforce.com, True Religion Brand Jeans, and Autodesk, who covered emerging issues and hot topics in intellectual property and Internet law. Below are a few highlights … Continue Reading

California Federal Court Transfers Trade Secret Dispute Involving High-Tech Gloves To New York

Posted in Practice & Procedure, Trade Secrets

By Robert Milligan and Jeffrey Oh

In today’s dynamic environment of interstate commerce, including internet transactions, deciding on the proper venue for a trade secret misappropriation dispute can be a complicated process involving a number of different factors particularly if the parties are domiciled and/or transact business in different states.

In the case of GLT Technovations, LLC v. Fownes Brothers … Continue Reading

Parties In High Profile Sports Agent Dispute In California Involving Trade Secret and Non-Compete Issues Throw Off The Gloves

Posted in Non-Compete Enforceability, Trade Secrets

The case of Mintz v. Mark Bartelstein & Associates d/b/a Priority Sports & Entertainment, recently filed in the Central District of California, provides an interesting look at both non-compete and trade secret law, as seen through the world of a sports agent.

Aaron Mintz, a National Basketball Players Association (NBPA) certified player-agent, allegedly resigned from Priority Sports & Entertainment on … Continue Reading

Texas Appellate Court Voids, As Contrary to Fundamental Texas Law, Incentive Compensation Contract Imposing A Substantial Penalty For Post-Employment Competition With The Ex-Employer

Posted in Non-Compete Enforceability, Restrictive Covenants

Under Texas law, a restraint on competition without reasonable time and geographical limitations is unenforceable. Although New York generally disfavors an unreasonable non-competition covenant, there is an exception under the employee-choice doctrine. A recent Texas appellate court panel, applying Texas law, reversed a lower court order declaring valid under New York law an employment contract provision imposing a substantial penalty … Continue Reading

New Ninth Circuit Case Aids Departing Employees In Non-Compete and Non-Solicit Disputes Involving Race To Judgment

Posted in Non-Compete Enforceability

Contractual choice of law provisions often seek to apply the law of the state that, when applied by a court to the contract at issue, is most likely to result in favorable interpretations, application, and/or enforcement of those provisions in the contract most valued by the contracting parties. However, when the law chosen is of a state different than the … Continue Reading

Because Arizona’s “Fundamental Policy” Regarding Non-Compete Clauses Is So Different From That Of The State Of Washington, Arizona Federal Court Refuses To Enforce Clause’s Provision Calling For Applicability Of Washington State Law

Posted in Non-Compete Enforceability

Courts around the country are split as to the circumstances under which the parties’ choice of law set forth in a non-compete agreement will be honored. In a recent diversity jurisdiction case ruling, Arizona U.S. District Court Judge David Campbell recently refused to enjoin violations of a non-compete clause which said that the law of Washington State applied. He held that Arizona … Continue Reading

Delaware Court Enjoins Use of Ex-Employers Trade Secrets

Posted in Trade Secrets

           Delaware Court of Chancery Vice Chancellor J. Travis Laster, faced with an unreasonable non-compete/non-solicitation agreement, indicated that he would have preferred to hold it invalid but said that he had no choice other than to modify its terms because its Maryland choice-of-law provision requires judicial “blue penciling.” He did enjoin the ex-employee from using his ex-employer’s customer list, a trade secret, … Continue Reading