Corporate Mole Bound by Preliminary Injunction

By Bill Wright We’ve seen it over and over.  Employees, including top sales people, leave their job and start a competing company in the same city.  But they want to take “their” clients with them. In a recent Pennsylvania case, the departing employees left a confederate inside the old employer. The inside man told the […]

Government Contractors: Time to Ditch Those Confidentiality Agreements

By Brooke Colaizzi and Glenn Schlabs On January 19, 2017, a new Federal Acquisition Regulation (“FAR”) went into effect prohibiting the government from contracting with companies that utilize confidentiality agreements that restrict employees or subcontractors from lawfully reporting waste, fraud, or abuse to a federal agency’s Office of Inspector General. The FAR applies to all […]

Arizona Court Strikes Down Restrictive Covenants

By John Alan Doran In a notorious case, the Arizona Court of Appeals today struck down Quicken Loans’ non-solicitation covenants and confirmed that the defendants in the case were entitled to recover their attorneys’ fees. Quicken sued seven of its former employees for breaching their non-solicitation covenants when they joined a competitor, loanDepot.  The non-solicitation […]

Former Executive Who Breached Confidentiality To Repay Severance

By Vance Knapp $735,000. That’s what one company paid a former executive in severance. Now the executive has to pay it back because she breached the confidentiality provisions in her separation agreement. Hallmark Cards, Inc. v. Janet Murley, Case No. 11-2855 (8th Cir. Filed Jan. 15, 2013). The employer provided the severance payment in exchange […]