Since starting my own law firm more than seven years ago, I have done one type of work more than any other: Defend poor people against bogus, abusive, illegal non-compete agreements. In all fairness, I have also done lots of work at the other end of the spectrum. I have defended C-Level executives (including some … Continue reading
Proving once again that corporate greed knows no limits, real estate firm Cushman Wakefield recently sued a former janitor, Sonia Mercado, for violating a non-compete agreement. The Washington Post broke the story. Immediately thereafter, following public outcry and a rash of negative publicity, Cushman caved and agreed to drop the lawsuit. Although that is a … Continue reading
It’s August of 2018 and non-compete agreements are still rampant in American markets. Not surprisingly, non-compete litigation remains big business for management-side lawyers, particularly at large corporate firms. But there are cracks in the armor. More and more states are contemplating severe restrictions on the use of non-compete agreements, if not outright bans. And several … Continue reading
It’s time to take a hard look at non-compete agreements in the car business. Let’s use an example: AutoNation, the Fort-Lauderdale-based car industry giant and Fortune 500 company. For the past twenty years or more, AutoNation has had a field day filing weak non-compete lawsuits. AutoNation files these cases in its backyard, the United States … Continue reading
A recent case out of the Southern District of Florida provides important guidance into the limits of non-compete agreements under Florida law. The case is one of the most comprehensive Florida non-compete decisions of the past several years, whether in state or federal court. Let’s take a look: IDMWorks is a company that specializes in … Continue reading
Last week, the Wall Street Journal ran a story about non-compete agreements making it difficult for younger journalists to get new jobs and move up in the news world. The article focused substantially on a young journalist named Stephanie Russell-Kraft who moved from Law360 to Thomson Reuters. Shortly after beginning work at Thomson Reuters, her … Continue reading
A recent case out of Florida’s Fifth District Court of Appeals raises important raises important issues related to physician non-compete agreements. Let’s take a look: Before addressing the specifics of this case, some context is necessary: Agreements not to compete are restraints of trade. In any non-compete case, there are two lenses: restraint of trade … Continue reading
There are huge problems with agreeing to this sort of consent order. In litigation, a defendant can attack a non-compete or non-solicitation agreement in numerous ways, particularly in the staffing industry context. But once the defendant agrees to a consent order, its over. After a consent order has been issued, the defendant no longer has any right to challenge the enforceability of the restrictions on the merits. Continue reading
A recurrent theme in non-compete litigation is the overriding importance of choice-of-law. The latest example comes to us from the United States District Court for the Southern District of Texas and pits a Texas choice-of-law provision against Oklahoma public policy. Let’s take a look: Sometime in early 2013, Tulsa, Oklahoma based F&M Bank began talks … Continue reading
A recent case out of the Eastern District of New York raises interesting questions about the use of non-compete agreements in connection with merger talks. Let’s take a look: Calico Cottage, Inc. is a New York company engaged in the wholesale fudge business. That’s right. Calico sells both the ingredients needed to make fudge, fudge … Continue reading