All bets are off in a Boston-based dispute between DraftKings Inc. and one of its former vice presidents. On April 30, 2024, the District of Massachusetts granted DraftKings a twelve-month preliminary injunction preventing its former Senior Vice President of Growth, Customer, Michael Hermalyn, from violating his restrictive covenants with DraftKings or misappropriating its confidential information.

Background

DraftKings is an online

Continue Reading DraftKings Obtains Restrictive Covenant and Trade Secret Injunction Against Former Executive

In the ever-evolving digital landscape as well as legislative and regulatory changes and proposed changes to the use of non-competes, the preservation of trade secrets stands as a cornerstone for businesses striving to secure a competitive edge. As we continue to navigate the complexities of remote work and the jurisdictional differences in restrictive covenant enforcement, the safeguarding of these invaluable

Continue Reading Webinar Recap! Navigating the Intersection of Non-Compete Agreements and Employee Mobility

Aegis Spine Inc. has agreed to pay $8,000,000 to fellow spinal implant manufacturer Life Spine Inc., following Life Spine’s suit in the Northern District of Illinois alleging Aegis had misappropriated Life Spine’s trade secrets to create a “knockoff” competitive implant.

Life Spine, based in Illinois, develops and manufactures medical devices aimed at treating various spinal disorders. Its principal line of

Continue Reading Medical Device Companies Settle Trade Secrets Dispute for $8,000,000

Tuesday, February 20, 2024
2:00 p.m. to 3:00 p.m. Eastern
1:00 p.m. to 2:00 p.m. Central
12:00 p.m. to 1:00 p.m. Mountain
11:00 a.m. to 12:00 p.m. Pacific

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About the Program

In the ever-evolving digital landscape as well as legislative and regulatory changes and proposed changes to the use of non-competes, the preservation of trade secrets stands as

Continue Reading Upcoming Webinar! Navigating the Intersection of Non-Compete Agreements and Employee Mobility

In 2023, Seyfarth’s Trade Secrets, Computer Fraud & Non-Compete practice group presented a series of dynamic and insightful CLE webinars, addressing pivotal challenges confronting businesses head-on. The breadth of our discussions encompassed a spectrum of critical topics:

  1. FTC Proposes Rule Banning Use of Non-Competes. Now What?
  2. 2022 Trade Secrets & Non-Competes Year in Review
  3. Commercial Litigation Outlook: Insights and Predictions for Litigation Trends in 2023
  4. NLRB and Restrictive Covenants: Trends in Employment Confidentiality
  5. Managing Trade Secrets in a Remote Work Environment
  6. What Employers Need to Know Regarding Non-Compete Changes in 2023

To conclude our impactful 2023 webinar series, we’ve carefully compiled key takeaways from each session. If you missed any sessions, recordings are available on our blog or through the provided links. We’re excited to share that Continuing Legal Education (CLE) credit is attainable by watching the webinar recordings. For CLE credit inquiries, please email cle@seyfarth.com after viewing the webinar.Continue Reading 2023 Trade Secrets Webinar Series Recap: Key Takeaways and Access to Recordings

Boston Beer Corporation (“Boston Beer”) recently filed suit seeking monetary and injunctive relief in Massachusetts state court, alleging a former employee and his new employer, the competing alcoholic beverage company Downeast Cider House LLC (“Downeast”), were using Boston Beer’s trade secrets to unfairly compete with it and divert business opportunities to Downeast.

Boston Beer is a brewer and marketer of

Continue Reading Rival Boston Cider Companies Enter Trade Secret Dispute

The D.C. Circuit recently held that a “Mutual Non-Disparagement” clause requiring an employer to “direct” its employees not to disparage a former employee could reasonably be interpreted as prohibiting the employer itself from making disparaging statements.

In Wright v. Eugene & Agnes E. Meyer Foundation, Dr. Terri Wright, a former employee of the Eugene and Agnes E. Meyer Foundation (the “Foundation”), filed suit against the Foundation after discovering its CEO, Nicola Goren, had made disparaging statements about her.

The Foundation hired Wright in early February 2018 as its Vice President of Program and Community.  During Wright’s tenure, Goren criticized her “interpersonal skills” and identified “communication issues.” In October 2019, Goren fired Wright, citing the same concerns.  Wright believed these alleged issues were pretextual, but to attempt to avoid litigation, she entered into a Severance Agreement with the Foundation. The Severance Agreement contained a provision titled “Mutual Non-Disparagement” that read as follows:

You agree that you have not made, and will not make, any false, disparaging or derogatory statements to any person or entity, including any media outlet, industry group or financial institution, regarding the Foundation or any of the other Releasees, or about the Foundation’s business affairs and/or financial conditions; provided, however, that nothing herein prevents you from making truthful disclosures to any governmental entity or in any litigation or arbitration. Likewise, the Foundation will direct those officers, directors, and employees with direct knowledge of this revised letter agreement not to make any false, disparaging or derogatory statements to any person or entity regarding you; provided, however, that nothing herein prevents such individuals from making truthful disclosures to any governmental entity in litigation or arbitration.Continue Reading D.C. Circuit Holds Contractual Clause Directing Non-Disparagement Implies Employer Itself Cannot Disparage

In Seyfarth’s third installment in the 2023 Trade Secrets Webinar Series providing valuable insights into navigating this evolving landscape, Seyfarth attorneys covered a range of topics, including the latest technology threats, the importance of communication and training, revisiting confidentiality policies, alternative trade secret protections, and updating restrictive covenant agreements. Here are the key takeaways from the Seyfarth webinar:

  1. Staying Informed
Continue Reading Webinar Recap! Managing Trade Secrets in a Remote Work Environment

Wednesday, June 21, 2023
3:00 p.m. to 4:00 p.m. Eastern
2:00 p.m. to 3:00 p.m. Central
1:00 p.m. to 2:00 p.m. Mountain
12:00 p.m. to 1:00 p.m. Pacific

REGISTER HERE

In today’s digital age, trade secrets are an essential asset for businesses to stay ahead of the competition. As businesses continue to operate remotely, protecting trade secrets has become increasingly

Continue Reading Upcoming Webinar! Managing Trade Secrets in a Remote Work Environment

The California legislature is considering new legislation that proposes, among other things, penalties for an employer’s use of restrictive covenants as well as for attorneys who assist with their enforcement.

Assembly Bill 747 was introduced in February 2023 and, if passed, would make the following changes:

  • The existing exception for restrictive covenants that are part of the sale of a
Continue Reading California Weighs Formal Penalties for Attempts to Enforce Restrictive Covenants