I read an interesting article by Peter A Steinmeyer and Zach C. Jackson on the steps an employer should consider before filing a noncompete lawsuit. It’s in a very useful format that lists bullet points under each item. I found it particularly interesting that the authors noted that sending a copy of a “cease and desist” letter to the new employer can come with risks. A “cease and desist” letter is a letter that an employer might send to the former employee before filing a lawsuit to remind the employee of his contractual obligations and to threaten a lawsuit if he does not stop violating them. As Steinmeyer and Jackson note, if a copy of that letter is sent to the new employer and is somehow inaccurate or the employee is fired as a result of the letter, the employer could face claims brought by the employee for libel, tortious interference with contract, or tortious interference with business relations. So it’s best for employers to have their facts straight before sending letters, let alone filing lawsuits.
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