In MetroHealth Sys. v. Khandelwal, 2022-Ohio-77, Ohio’s Eighth District Court of Appeals affirmed a trial court’s modification of a noncompete agreement between a hospital and a physician formerly employed by the hospital. Both courts reasoned that modifying the agreement,
Restrictive Covenant Report
A blog on restrictive covenants, trade secrets, and unfair competition for employers
The Restrictive Covenant Report, published by Jackson Lewis P.C., focuses on legal developments and regulatory changes related to restrictive covenants in employment agreements. The blog covers topics such as non-compete agreements, no-poach agreements, garden leave provisions, and geographic and temporal limitations on restrictive covenants. It tracks legislative updates across various states, including new laws affecting healthcare practitioners and physicians, and analyzes the impact of these laws on employer and employee rights. The blog also discusses court interpretations and enforcement trends, providing insights into how restrictive covenant laws evolve and affect workforce mobility and employer protections.
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Reaction and Response to the FTC & DOJ Workshop on Labor Market Competition
The Federal Trade Commission (FTC) and the Department of Justice (DOJ) hosted a virtual workshop on December 6-7, 2021, bringing together agency representatives, lawyers, economists, academics, and other experts to discuss issues affecting competition in the labor market (“Workshop”).
We…
Florida Decision Highlights Strategy for Immediately Appealing Denial of Temporary Injunction
In many non-compete cases, the employer seeks a temporary injunction at the outset of the case to prevent further harm. If the employer loses that motion, the case usually settles or proceeds to discovery as in a standard civil action.…
New Bills Seek to Void Restrictive Covenants for Employers with Vaccine Mandates
Employers in the U.S. are facing regulatory upheaval on multiple fronts. The federal government has taken up a new interest in potentially limiting the applicability of restrictive covenants, such as non-compete agreements. Meanwhile, the Occupational Safety and Health Administration (OSHA)…
Podcast: Enforceability of Physician Non-Compete Agreements
Including non-compete covenants in physician employment and shareholder agreements is common practice. Whether they are legally enforceable as drafted varies from state to state. In this podcast, Jackson Lewis attorneys explore how hospital systems and medical groups can protect…
Illinois Governor Signs New Non-Compete Bill
The Illinois General Assembly passed a major bill in May that significantly alters how and when employers can use restrictive covenants with Illinois employees. Illinois Governor JB Pritzker signed the bill into law on August 13, 2021, and it will…
Why We Signed a Joint Letter Urging Caution in Non-Compete Regulation
Earlier this month, President Joseph Biden issued an Executive Order encouraging the Federal Trade Commission (FTC) to “curtail the unfair use of non-compete clauses and other clauses or agreements that may unfairly limit worker mobility.”
We joined more than 50…
D.C. Budget Bill Includes April 1, 2022 Applicability Date for Non-Compete Ban
The District of Columbia passed one of the nation’s most stringent regulations on covenants not to compete earlier this year. Except in very limited circumstances, the law states employers may not require or request employees sign an agreement that includes…
President Biden Issues Executive Order Calling on FTC to “Curtail Unfair Use” of Non-Competes and Other Restrictive Covenants
There have been whispers of federal regulation of non-compete agreements for years. Multiple bipartisan bills aiming to ban non-competes have fallen to the wayside without traction. The Federal Trade Commission hosted a workshop in January 2020 (attended by our own…
New Georgia Decision Clarifies Scope of Computer Trespass Statute
Just as the United States Supreme Court recently limited the reach of the federal Computer Fraud and Abuse Act (“CFAA”) in Van Buren v. United States, the Georgia Supreme Court has now reined in the Georgia state law counterpart to…