Trading Secrets

A Law Blog on Trade Secrets, Non-Competes, and Computer Fraud

Latest from Trading Secrets

Collaborate Away: Ninth Circuit Rules that Non-Solicitation Provisions in Collaboration Agreements Are Not Per Se Violations of Federal Antitrust Law

By Jonathan A. Braunstein & Michael S. Mahoney

September 15, 2021

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A recent Ninth Circuit ruling in a dispute between two health care staffing agencies clarifies that non-solicitation provisions in business-to-business collaboration agreements are not per se violations of the Sherman Act. Aya Healthcare Services, Inc. v. AMN Healthcare, Inc. No. 20-55679, 2021 WL 3671384 (9th Cir. Aug. 19, 2021). Background and District Court Proceedings When hospitals and other health care facilities have nursing shortages, travel nurses provide a temporary solution. Health care facilities often turn to staffing agencies…

Trading Secrets

What Employers Need to Know Regarding Illinois’ New Restrictive Covenant Law

By Marcus Mintz & Michael Wexler

August 30, 2021

On August 13, 2021, Governor Pritzker signed into law Public Act 102-0358, which amends the Illinois Freedom to Work Act and sets forth specific requirements for the enforceability of restrictive covenant agreements in Illinois for agreements entered into on or after January 1, 2022. Income Thresholds To be enforceable, as of the law’s effective date, non-compete agreements may only be used with employees earning more than $75,000 per year, and more than $45,000 per year…

Trading Secrets

Cannabis Baker’s Plans of Own Business Potentially Put On Backburner

By Marcus Mintz

August 27, 2021

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Earlier this month, Plaintiff Bright Side, LLC dba Herbal Edibles, a manufacturer of cannabis edibles, filed a lawsuit in New Mexico state court to enforce a 3-year non-compete and enjoin the misappropriation of its trade secret cannabis recipes by one its former bakers, Christina Johnson. Based on the complaint, Ms. Johnson had been employed by Herbal Edibles as a baker for less than one year when she was terminated. Ms. Johnson allegedly started her own…

Trading Secrets

District of Columbia Councilmembers Seek Clarification on Non-Compete Ban

By James Billings-Kang

August 3, 2021

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Since we last wrote about DC’s sweeping ban on non-competes (the “Act”), there have been many questions and concerns, not surprisingly. And now those have spilled over into deliberations before the DC Council, leading to Councilmember Elissa Silverman’s introduction of the Non-Compete Conflict of Interest Clarification Amendment Act of 2021 on May 21, 2021. Councilmember Silverman and others hope to limit the new non-compete law before it gets funded with an effective date of March…

Trading Secrets

Seyfarth Partners Join More Than 50 Lawyers Nationwide to Recommend to the White House and FTC that Regulation of Non-Competes Should Be Left to the States

By Robert B. Milligan, Katherine Perrelli & Erik Weibust

July 23, 2021

Along with 54 other lawyers and two paralegals from across the country, Seyfarth partners Kate Perrelli, Robert Milligan, and Erik Weibust recently signed a letter, penned by our friend Russell Beck, in response to President Biden’s July 9, 2021 Executive Order on Promoting Competition in the American Economy, which we previously wrote about. The letter, which was sent to the White House and Federal Trade Commission (FTC) on July 14, 2021,…

Trading Secrets

Jesse Coleman and Erik Weibust Present Webinar on “Available Remedies in Trade Secret and Restrictive Covenant Cases” for LawPracticeCLE

By Jesse M. Coleman & Erik Weibust

July 16, 2021

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On Monday, July 19, 2021, Houston partner Jesse Coleman and Boston partner Erik Weibust are presenting a webinar entitled “Available Remedies in Trade Secret and Restrictive Covenant Cases” for LawPracticeCLE at 2 p.m. Eastern. It will also be available on demand. Course Description When a current or former employee or business partner misappropriates trade secrets or breaches a restrictive covenant agreement, such as a noncompetition, non-solicitation, or nondisclosure agreement, the aggrieved party may often, depending…

Trading Secrets

President Biden Issues Executive Order Encouraging the FTC to Consider Curtailing the Use of “Unfair” Non-Competes, but Without Providing any Additional Guidance or Details

By Erik Weibust, Eric Barton & Alex Meier

July 12, 2021

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On Friday, July 9, 2021, the Biden Administration released its executive order on “Promoting Competition in the American Economy.” We previously wrote about the forthcoming order and predicted that the executive order’s treatment of non-compete provisions would be a general call to rulemaking versus a more authoritative or immediate directive to the FTC.…

Trading Secrets

Biden to Ban Non-Competes?

By Erik Weibust, Eric Barton & Alex Meier

July 8, 2021

The Biden Administration plans to issue an executive order calling on the Federal Trade Commission (FTC) to adopt rules to limit the use of noncompete clauses in employment agreements. According to Axios, White House Press Secretary Jen Psaki told reporters that “roughly half of private sector businesses require at least some employees to enter noncompete agreements, affecting over 30 million people. This affects construction workers, hotel workers, many blue-collar jobs, not just high-level executives.…

Trading Secrets

Nevada Amends Non-Compete Statute Protecting Low-Wage Workers and Imposing Award of Attorneys’ Fees for Certain Violations

By Dawn Mertineit

June 30, 2021

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As changes in restrictive covenants laws sweep the nation, Nevada is one of the latest jurisdictions to update its non-compete statute. Last month, the state legislature amended the Nevada Unfair Trade Practices Act to add new requirements for enforceability of non-competes. The amendment makes the following changes in Nevada law:…

Trading Secrets

The Sedona Conference Seeks Public Comment on Protecting Trade Secrets throughout the Employment Life Cycle

By Robert B. Milligan

June 28, 2021

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The Sedona Conference’s working group on trade secrets has created a draft Commentary on Protecting Trade Secrets throughout the Employment Life Cycle. The draft Commentary explains: Employees are at the center of most aspects of trade secrets: Trade secrets cannot exist without the work of employees, cannot be protected without the efforts of employees, and would rarely be compromised or lost without the conduct of employees. This Commentary on Protecting Trade Secrets throughout the Employment…

Trading Secrets

A Law Blog on Trade Secrets, Non-Competes, and Computer Fraud

Blog Authors

Collaborate Away: Ninth Circuit Rules that Non-Solicitation Provisions in Collaboration Agreements Are Not Per Se Violations of Federal Antitrust Law

What Employers Need to Know Regarding Illinois’ New Restrictive Covenant Law

Cannabis Baker’s Plans of Own Business Potentially Put On Backburner

District of Columbia Councilmembers Seek Clarification on Non-Compete Ban

Seyfarth Partners Join More Than 50 Lawyers Nationwide to Recommend to the White House and FTC that Regulation of Non-Competes Should Be Left to the States

Jesse Coleman and Erik Weibust Present Webinar on “Available Remedies in Trade Secret and Restrictive Covenant Cases” for LawPracticeCLE

President Biden Issues Executive Order Encouraging the FTC to Consider Curtailing the Use of “Unfair” Non-Competes, but Without Providing any Additional Guidance or Details

Biden to Ban Non-Competes?

Nevada Amends Non-Compete Statute Protecting Low-Wage Workers and Imposing Award of Attorneys’ Fees for Certain Violations

The Sedona Conference Seeks Public Comment on Protecting Trade Secrets throughout the Employment Life Cycle

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