Tag Archives: noncompete

California Appellate Court Refuses to Enforce Employee Non-Solicitation Provision

In a decision that could affect Massachusetts companies with employees in California, a California appellate court voided a non-solicitation clause in former employees’ agreements.

It is well known that under California law, post-employment non-competition agreements are unenforceable, except in very limited circumstances. California courts have been slightly more forgiving of non-solicitation provisions, both as to employees and customers.  Employee non-solicitation provisions occasionally have been upheld when tested against a reasonableness standard.… More

California Case Highlights Need to Look Before You Leap . . . and File Suit

Late last month, the California Court of Appeal upheld a $180,000 award of sanctions against an employer for bringing a baseless trade secret misappropriation suit. While this case arose in California and involved California law, it involves concepts that have been recognized by Massachusetts judges and shows the possible consequences of the common impulse to file a lawsuit quickly and ask questions later.

In the California case, Cypress Semiconductor Corp.… More

Noncompete Legislation Takes a Step Toward Passage

As reported here on the website of Rep. William Brownsberger:

legislation to revise the law of non-competition agreements in Massachusetts took a step forward this week. The Committee on Labor and Human Resources reported out a bill with a favorable recommendation.  Here is the new draft.  It is essentially the bill that Representatives Ehrlich and Brownsberger worked out [with] representatives of many interest groups, but we have not yet had the opportunity to study the language carefully.… More