Companies commonly rely on non-compete restrictions to protect their competitive business interests. But if such post-employment restrictions are not properly drafted, those agreements may not be enforceable if challenged in court.
Briefly, non-competition restrictions prohibit an employee from going to work for a competitor of a former employer. Such post-employment restrictions
Employers often overlook the opportunity to limit liability against their business when it comes to employment agreements. And one of the most common ways in which a business can limit its liability is through a contractual limitations period. A recent Michigan Court of Appeals highlights this point.
Specifically, a shortened limitation period in an employer’s
When it comes to post employment restrictions, non-compete agreements often get all the attention. In fact, such restrictions are a frequent subject of discussion on our law firm’s blog (Noncompete Restrictions: The First Line of Defense for Protecting the Company from Unfair Competition).
However, as explained below, a carefully drafted non-solicitation provision should
We recently wrote about the importance of having an enforceable noncompete in place in order to protect your business (Noncompete Restrictions: The First Line of Defense for Protecting the Company from Unfair Competition). But when it is necessary to obtain and injunction and to enforce that agreement, companies can’t expect to bluff their
Business involves competition. But not all competition is lawful. Two former employees found this out the hard way after a judge determined on May 22, 2015 that they had wrongfully started a competing business while they continued to work for their employer along with misappropriating trade secrets and engaging in other wrongful acts (Nedschroef
Not many people would jump out of a plane and then worry about figuring out what to do about a parachute on the way down. But often times individuals take that approach when it comes to starting a new business or taking a job after having signed a non-compete agreement. And that lack of planning
Two annoyances in life often involve cliches and living out a cliche. This is especially true when the cliche is “shooting yourself in the foot.” But T-Mobile got to experience both last week when the National Labor Relations Board (NLRB) ruled that it engaged in unfair labor policies.
The ruling arose out of T-Mobile’s employee
Thanks to the National Labor Relations Board (the NLRB), companies need to add employee manuals to the list of things that need spring cleaning. Specifically, the NLRB’s Office of the General Counsel issued a 3/18/2015 report full of examples of how your company’s employee manual likely violates the National Labor Relations Act (NLRA).
For background,
Crain’s Detroit, by Dustin Walsh, reported last week that this year marks the 30 year anniversary of arguably the most significant Michigan court opinion concerning non-compete agreements. See “30 Years Later, A Noncompete Ruling has Been Forged into Law.” The case referenced in this article comes from a January 17, 1985 Michigan
A recent Delaware court case invalidating an employer’s non-compete agreement provides a cautionary reminder for companies with operations and employees in multiple states.
Specifically, in Ascension Ins. Holdings, LLC v. Underwood (Delaware, Jan. 28, 2015) the company, Ascension was incorporated in Delaware, but headquartered in California. California was also where the employee, Roberts Underwood worked.