An Indiana Court of Appeals has ruled that an employer cannot enforce a two year non-compete agreement against an employee who was fired for just 10 days and then rehired because the termination was treated as permanent and there was no writing signed by the employer that extended the duration of the non-compete agreement as required by the express language … Continue Reading
Category Archives: Employment & Consulting Contracts
Subscribe to Employment & Consulting Contracts RSS FeedNew York Court Rules that Florida’s Non-Compete Law is “Truly Obnoxious”
A New York appellate court has ruled that Florida law on non-compete agreements is “truly obnoxious” to New York public policy and cannot be applied against a New York employee of a Florida-based company.
The court’s decision in Brown & Brown, Inc. v. Johnson and Lawley Benefits Group, LLC, 2014 WL 486750 (N.Y.A.D. 4 Dept., February 7, 2014) is … Continue Reading
Silence is Golden for Employee Suspended Without Pay
Employers: Read and understand your employment agreements with your employees, and don’t assume you have contractual rights that are not spelled out in the agreements. Those are among the lessons to take from a recent decision by Florida’s Second District Court of Appeal, Nancy Havens, D.D.S. v. Coast Florida, P.A., Case No. 2D12-1047 (June 12, 2013).
Nancy Havens is … Continue Reading
Think Your Company’s Confidential Information is Safe? Think Again!
Password encrypted computers, locked file drawers, swipe cards allowing for restricted access. These are all measures taken by businesses to protect their confidential business information and trade secrets. While these steps are important, they are only part of the solution in protecting your company’s valuable business information. More and more employers today are using restrictive covenants such as noncompete agreements … Continue Reading
Independent Contractor and Former Employee May Be Bound by Non-Compete Agreement, Florida Court Rules
Section 542.335 is the Florida statute that governs non-compete agreements. As most practitioners know, the statute is not limited to employment relationships. Thus, it is not uncommon for businesses and independent contractors to enter into non-compete agreements.
But what happens when an employee who has signed a non-compete agreement becomes an independent contractor of that business? Can the worker be … Continue Reading
Is a General Assignment Clause Sufficient under Florida’s Non-Compete Statute?
Florida’s statute governing the enforcement of non-compete covenants provides that a court may enforce such covenants in favor of an assignee or successor, provided that “the restrictive covenant expressly authorized enforcement by a party’s assignee or successor.” §542.335(1)(f).
Is a general assignment clause in an agreement that contains a non-compete covenant sufficient under the statute? The answer to that question … Continue Reading
Statute of Frauds Bars Employment Contract Claim, Rules Florida’s Third DCA
The old adage “get it in writing” remains good advice, as illustrated by a recent decision by Florida’s Third District Court of Appeal, LaRue v. Kalex Construction and Development, Inc., Case No. 3D11-2368 (Fla. 3d DCA, August 22, 2012).
Rose LaRue began working for Kalex Construction and Development in February 2006 as a vice-president. After her termination in December … Continue Reading
The Importance of Written Employment Offers
Although written employment contracts or offer letters are not required by Florida law, employers should clearly state the terms of a new hire’s offer in writing to avoid any misunderstandings – or, worse, claims of breach of contract or fraudulent inducement.
A recent case from Florida’s Fourth District Court of Appeals, Ioannides v. Romagosa (Fla. 4th DCA, July 11, 2012)… Continue Reading
Employers Must Carefully Draft Attorneys’ Fees Provisions In Non-Compete Agreements
In Rogers v. Vulcan Manufacturing Co., Inc., No. 11-3927 (Fla. 1st DCA June 1, 2012), the First District Court of Appeal explained that employers must carefully draft non-compete agreements to avoid owing attorneys’ fees to former employees who do not pay for their own defense, but, rather, have it funded by a subsequent employer. In the case, a former employee … Continue Reading
Horse Doctors Make House Calls: A Lesson in Why Boilerplate Non-Compete Agreements May Not Hold Up in Court
Non-compete agreements need to actually prohibit the competitive activities at which they are aimed. Thus, they must reflect the reality of the businesses for which they are drafted.
So, if you are drafting or reviewing a non-compete agreement, it’s critical that you consider not only what the business does, but how it does it- and how a former employee might … Continue Reading