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… Continue Reading
Tag Archives: non-solicitation
Despite Allegations That Something Fishy Was Occurring, Kentucky Federal District Court Rules That Texas Corporate Defendant Was Not Subject To Personal Jurisdiction In Trade Secret Misappropriation Suit
Posted in Breach of Fiduciary Duty, Non-Compete Enforceability, Practice & Procedure, Restrictive Covenants, Trade SecretsMPI, a Texas company, went to Kentucky and allegedly attempted to hire two Luvata employees, Foster and Meredith. Foster joined MPI soon thereafter. Over the course of the next few months while Meredith remained a Luvata employee, he and Foster allegedly spoke by phone repeatedly. In addition, prior to leaving Luvata for MPI, Meredith… Continue Reading
Fireworks Fly, California District Court Enjoins Former Pyrotechnics Company Employee From Soliciting Former Employer’s Customers
Posted in Restrictive Covenants, Trade SecretsOn March 21, 2012, in the case of Pyro Spectaculars, Inc. et al. v. Souza, Case No. 12-CV-00299-GGH, Magistrate Judge Gregory G. Hollows of the USDC for the Eastern District of California (Sacramento Division), issued an order preliminarily enjoining a former Account Executive for a pyrotechnics company from soliciting the customers of his former employer. … Continue Reading
What Happens in Vegas May Stay in Vegas, But Misappropriation of Trade Secrets and Unauthorized Disclosure of Confidential Information Will Still Land You in Hot Water According To Recent Supreme Court of Nevada Decision
Posted in Non-Compete Enforceability, Trade SecretsIn Finkel v. Cashman Professional, Inc., et al., Case Nos. 54520, 55377, 2012 WL 669897 (Nev. March 1, 2012), the Supreme Court of Nevada addressed the validity of non-solicitation, non-competition, and non-disclosure covenants and the proper duration of a preliminary injunction prohibiting disclosure or use of trade secrets. The Nevada Supreme Court received the case after it… Continue Reading
Former Pharmacy Benefit Management Executives Sued For Alleged Violations Of Customer Non-Solicitation Agreements In Wisconsin Federal Court
Posted in Non-Compete EnforceabilityBy Justin Beyer Thompson Reuters (Healthcare) Inc. sued three former executive employees, all formerly working for Thompson Reuters in its pharmacy benefits management and consulting division of its healthcare services arm, in the United States District Court for the Eastern District of Wisconsin on Monday and immediately filed a motion for partial summary judgment against the former executives… Continue Reading
Virginia Supreme Court Clarifies Obligations Of Employer Seeking To Enforce Non-Compete
Posted in Non-Compete EnforceabilityBy Marcus Mintz Earlier this month, the Virginia Supreme Court issued an opinion in which it clarified the burdens an employer must meet to enforce a non-compete against a former employee. Specifically, that the employer must demonstrate that the non-compete is no broader than necessary to protect the employer’s “legitimate business interests” and does not “unduly… Continue Reading
Delaware Court Enjoins Use of Ex-Employers Trade Secrets
Posted in Trade SecretsDelaware 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… Continue Reading
Injunctive Relief and a Substantial Monetary Judgment Awarded to National CPA Firm Against Former Employees Who Breached Non-Compete Agreements
Posted in Non-Compete EnforceabilityBy Paul Freehling The national CPA firm of Mayer Hoffman McCann P.C. (“MHM”), based in Missouri, scored a major victory when the Eighth Circuit Court of Appeals affirmed a trial court’s injunctions and liquidated damages award of $1,369,921 against four former stockholder-employees in Minnesota. The injunctions prohibited them from soliciting MJM’s clients, directed them and their… Continue Reading