Most of the action in restrictive covenant cases occurs in the beginning of the litigation at the temporary or preliminary injunction stage when a company seeks to stop someone from doing something immediately. However, after the dust settles and the case moves forward to discovery and trial, money damages often take center stage. There are … Continue reading “Part 27 of the “The Restricting Covenant Series”: Disgorgement”
In the best of economic times, some courts can be reluctant to grant immediate injunctive relief and enjoin an employee from working in order to enforce employee post-employment restrictive covenants. Now that we are in the midst of a global pandemic and an economic recession, that challenge has grown. Current economic considerations are causing some … Continue reading “The Impact of COVID-19-Related Factors on Courts’ Enforcement of Employee Post-Employment Restrictive Covenants”
The global COVID-19 pandemic continues to impact employers and their employees’ work activities in a variety of ways. Millions of workers have been terminated, laid off or furloughed. Companies have shifted to remote workforces either partially or completely. Courts around the country continue to grapple with suspended or stayed proceedings. This pandemic is presenting some … Continue reading “Part 26 of “The Restricting Covenant” Series: COVID-19 Edition”
The most recent installment of the Restricting Covenant Series was inspired by the Jeopardy! tournament “The Greatest of All Time,” where champion Ken Jennings edged out two other competitors to win the million-dollar prize. So, for the crossword and quiz show enthusiasts, here is the clue in the form of an answer (and the subject … Continue reading “Part 25 of “The Restricting Covenant” Series: Disintermediation and Noncompetes”
There are many notable east coast-west coast rivalries. In sports (Celtics versus Lakers basketball), in leisure (Atlantic versus Pacific beaches), or in food (Shake Shack versus In-N-Out Burger), to name a few. With respect to restrictive covenants, the conflict between Delaware, which is generally considered a “pro-enforcement” jurisdiction, and California, which is generally considered an … Continue reading “Part 24 of “The Restricting Covenant” Series: Choice of Law and Covenants Not to Compete”
This latest installment of The Restricting Covenant series highlights the significant changes coming to Washington State regarding non-compete agreements (it’s a game changer), as well as similar legislation (passed and proposed) in other states including Massachusetts and New Jersey. Employers surely will feel the ripple effect of Washington’s new sweeping law on non-competes. Is this … Continue reading “Part 23 of “The Restricting Covenant” Series: Legislative Limitations”