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A recent decision out of New York’s Appellate Division, Fourth Department, raises the interesting consideration of non-compete agreements and rescission. The case apparently has been in litigation for several years, but the recent appellate decision is worth a look. Back in 2004, Richard Smith left a company called Lenel Systems, which develops, manufactures and sells … Continue reading
Pittsburgh-based Blue Belt Technologies, an emerging player in the medical device and medical technology industry, continues to find itself at the center of non-compete disputes. Earlier this year, Blue Belt clashed with MAKO Surgical, a rival in the surgical robotics industry, after Blue Belt hired former MAKO sales executive Jeffrey Gellman. This time, Blue Belt, … Continue reading
Call it a trend. A number of recent cases from across the country suggest that courts are pushing back against overzealous attempts to enforce non-compete agreements against salespeople. One of the latest examples comes out of the Illinois. In September 2010, Rodger Reaume began working in sales for Fisher/Unitech, a major reseller of computer animated … Continue reading
Devicor Medical Products, a major player in the medical device industry, has lost its bid to prevent a former employee from working for Hologic, a company with divisions that compete against Devicor in the breast biopsy product market. In June 2005, Keith Reed began work as a sales representative for Ethicon Endo-Surgery, Devicor’s predecessor. In … Continue reading
Landry’s Restaurants, the Houston-based company that owns more than 40 restaurant chains and 400 properties including restaurants, hotels and casinos, has sued a former employee for breaching a non-compete agreement. Last week, Landry’s filed suit against Tim Kohler, who formerly served as director of operations for Vic & Anthony’s Steakhouse, the highly-acclaimed steakhouse with locations … Continue reading
Fort Lauderdale-based MAKO Surgical Corporation has filed a lawsuit against a former employee, Jeffrey Gellman, and his new company, Blue Belt Technologies, Inc., alleging the parties conspired to steal MAKO’s confidential information and clients. MAKO is a company that is principally engaged in the design, manufacture and sale of robotic surgical systems. These systems use … Continue reading
It can be difficult to discuss trends in non-compete litigation, particularly from a national perspective, given that non-compete agreements are governed by state law. Although many states utilize similar tests for evaluating the enforceability of such agreements, there can be tremendous variation from one state to another. That said, a number of recent cases from … Continue reading
Need a NY or PA Non-Compete Lawyer? Call 954-332-2395. A recent case out of the Western District of New York raises a number of interesting non-compete issues, including Pennsylvania’s “worthless employee” doctrine. In 1983, Phillip Garrod began working as a salesman in the field of “elastometric precision products.” Let’s just call them EPPs. After seventeen … Continue reading
In the world of non-compete litigation, it is well-known that employee non-compete agreements are unenforceable under California law. As a result, when a non-compete dispute has any ties to California, we often witness the proverbial race to the courthouse. In essence, the former employee facing the possible lawsuit will seek to file first by bringing … Continue reading
Last week, the Texas Court of Appeals affirmed a trial court order finding a physician non-compete agreement unenforceable as against public policy. Although Texas has no outright ban on physician non-compete agreements (like Massachusetts or Alabama), the decision suggests that Texas courts may be willing to invalidate physician non-compete agreements where there is evidence of … Continue reading
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