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restrictive covenants

The FTC’s Sweeping Proposal to Ban Non-Competes

January 26, 2023 by Rachel Chun

The Bottom Line In the three weeks since the proposed rule was released, the FTC has received over 5,600 comments, and many more are expected from interested individuals, companies, industry groups and trade associations.Until the final rule, if any, is implemented, companies should continue to Continue Reading

Alert - January 26, 2023

For Compete’s Sake! Delaware Court Declines to Enforce Sale-of-Business Restrictive Covenants

December 15, 2022 by Catherine Nagle

The Bottom Line Courts around the country subject non-competition agreements and other restrictive covenants to increasingly strict scrutiny in employment contracts.Courts applying Delaware law may also limit enforcement of restrictive covenants executed in the sale-of-business context to the Continue Reading

Alert - December 15, 2022

New Federal Law Limits Enforceability of Predispute Nondisclosure and Nondisparagement Clauses Related to Sexual Harassment

December 8, 2022 by Catherine Nagle

Bottom Line The federal Speak Out Act limits the enforceability of predispute nondisclosure and nondisparagement provisions related to incidents of sexual harassment and sexual assault.Employers should review and, if necessary, revise standard employment and restrictive covenant agreements to Continue Reading

Alert - December 8, 2022

Washington, D.C. Rolls Back Proposed Ban on Non-Compete Agreements

September 14, 2022 by Patrick Quinn

The Bottom Line Washington, D.C.’s amended law banning non-compete agreements contains an exception for highly compensated employees and no longer outright bans anti-moonlighting provisions in all instances. Employers should be mindful of the total annual compensation awarded to employees in Continue Reading

Alert - September 14, 2022

California Employee Non-Solicitation Provisions Face Unpredictability

March 14, 2019 by Megan O'Malley

The Bottom Line The California Court of Appeal rejected an employee non-solicitation provision for recruiters, and one federal court in California has taken a broad reading of that decision and concluded that all employee non-solicitation provisions are invalid. This development serves as a Continue Reading

Alert - March 14, 2019

Enforcing Restrictive Covenants Against Employees Discharged Without Cause

April 17, 2017 by Catherine Nagle

The Bottom Line A bright-line rule that an employer may not enforce restrictive covenants against an employee terminated without cause appears to be re-emerging in New York. But there are potential strategies for employers to secure enforceable post-employment restrictions against an involuntarily Continue Reading

Alert - April 17, 2017

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