At the annual meeting of the Massachusetts Technology Leadership Council on March 12, Massachusetts Governor Deval Patrick reportedly described arguments in favor of eliminating the state’s longstanding approval of non-compete clauses as “compelling,” while stopping short of endorsing those efforts. 

During a question-and-answer session at the conference, Branko Gerovac, chief strategy officer at search engine optimization startup Jungle Torch, reportedly
Continue Reading Massachusetts Governor Weighs In On Non-Compete Reform Debate

Will Massachusetts join 46 states, District of Columbia, Puerto Rico, and the U.S. Virgin Islands in adopting the Uniform Trade Secrets Act (the “UTSA”)? 

In January 2013, the Massachusetts Legislature proposed House Bill No. 27: An Act Making Uniform the Law Regarding Trade Secrets.  The bill seeks to repeal Sections 42 and 42A of chapter 93 of the Massachusetts
Continue Reading Is Massachusetts Next to Adopt the Uniform Trade Secrets Act?

By Ryan Malloy and Erik Weibust

The status of law reform in Massachusetts with respect to employee non-compete agreements remains in flux. Pending Massachusetts House Bill 2293, “An Act Relative to Noncompetition Agreements,” aims to codify Massachusetts common law with respect to non-compete agreements while affording greater procedural protections to those subject to contractual restrictions on employment mobility. Since its
Continue Reading Update on Proposed Massachusetts Non-Compete and Trade Secret “Reform” Legislation

By Ryan Malloy and Joshua Salinas

The Court of Appeals of Indiana recently reversed and remanded a 2008 suit brought by the North American Boxing Council (NABC) against HDNet LLC (HDNet), in which the NABC alleged that HDNet stole its idea for a mixed martial arts (MMA) broadcast series after the parties had discussed a broadcast arrangement that never materialized
Continue Reading Indiana Appellate Court Finds That Indiana Uniform Trade Secrets Act Preempts Common Law Misappropriation and Civil Conversion Claims In Mixed Martial Arts Broadcasting Dispute

On July 11, 2012, the Delaware Court of Chancery found that former employees are not indispensable parties for purposes of dismissal pursuant to Chancery Court Rule 19 in an action against their new employer for breach of covenants not to compete, misappropriation of trade secrets, and aiding and abetting a breach of fiduciary duty, based on allegations that the new
Continue Reading Delaware Chancery Court Rules That Former Employees Are Not Indispensable Parties in Non-Compete Case

On June 19, 2012, a Massachusetts federal court declined to apply an expansive interpretation of the inevitable disclosure doctrine during a preliminary injunction ruling, finding that the rule is best applied to establish irreparable injury supporting enforcement of a non-competition agreement and not as the basis for a future misappropriation of trade secrets claim.

In U.S. Elec. Svcs., Inc. v. Schmidt

Continue Reading Massachusetts Federal Court Rejects Expansive View of Inevitable Disclosure Doctrine and Denies Preliminary Injunction

By Ryan Malloy and Robert Milligan

The New Hampshire legislature recently passed a new state law that will require the disclosure of non-compete and non-piracy agreements to potential employees prior to making offers of new employment and to existing employees with an offer of change in job classification. Governor Lynch signed the bill on May 15, 2012. Under the new
Continue Reading New Hampshire Enacts New Law Requiring Disclosure of Non-Compete and Non-Piracy Agreements Prior To Job Offer And Change In Job Classification

In a recent decision, Wilcox Indus. Corp. v. Hansen, 2012 U.S. Dist. LEXIS 63668 (D.N.H. May 7, 2012), a federal judge for the District of New Hampshire interpreted the New Hampshire Uniform Trade Secrets Act’s (the “NHUTSA”) preemption provision to preempt all non-contract claims based on unauthorized use of information even if the information at issue is not a
Continue Reading New Hampshire Federal District Court Broadly Interprets Preemption Provision In State’s Uniform Trade Secrets Act

By Ryan Malloy and Erik Weibust

The Massachusetts legislature recently joined the growing wave of states nationwide that are considering bills, which, if enacted, would forbid employers from requesting social media user names and passwords from employees or prospective employees. The issue of privacy with regards to social media accounts has garnered significant attention across the country during recent months,
Continue Reading Massachusetts Legislature Considers New Social Media Bill