Employer Law Report

Jay Levine

Jay Levine

Editor and frequent host of Porter Wright’s Antitrust Law Source, Jay Levine is a partner based in Washington, D.C. Jay has extensive litigation experience in a variety of industries, particularly health care, pharmaceuticals and consumer products. Over the past few years, he has represented pharmaceutical companies in several antitrust and competition-related actions, many of which involved issues not previously litigated. Jay regularly represents clients before the government enforcement agencies, in both criminal and civil matters, and is currently defending clients in several different class actions.

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Federal judge rejects the proposed settlement for tech companies who allegedly violated antitrust law by agreeing not to solicit each other’s employees

We previously discussed here the antitrust case involving several high-tech companies who allegedly entered into bilateral agreements in which they agreed not to solicit each other’s employees. These companies settled with the U.S. Department of Justice and were subsequently sued by a class of software engineers. Early on, Intuit and Pixar/Lucasfilm settled, and recently the plaintiffs and the remaining tech companies reached an agreement to settle the case for $324.5 million. Or maybe they thought they had, but guess what? The federal judge overseeing the case rejected that settlement, finding that it did not provide adequate monetary compensation.

U.S. District …

Tech companies can’t escape antitrust liability for agreeing not to solicit competitors’ employees

Sometimes, the worlds of antitrust law and employment law intersect. For example, as most businesses know, it is generally permissible under federal, state, and local law for employers to enter into non-recruitment or non-competition agreements with their employees that are reasonably tailored to prevent unfair competition. A non-recruitment agreement typically prohibits an employee from stealing co-workers for another company. Similarly, a non-competition agreement typically prohibits an employee from working for the employer’s competitor both during employment and for a reasonable period of time thereafter. What happens, however, when employers simply bypass these employee agreements and instead enter into agreements with …

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