Employer Law Report

Tag Archives: no-compete

Ohio Supreme Court to Address Assignability of Noncompetes During Mergers and Acquisitions

Yesterday the Ohio Supreme Court agreed to hear an appeal that addresses the extent to which a corporate merger may impact the surviving company’s ability to enforce restrictive covenants that its predecessor companies entered into with their employees.

In Acordia of Ohio LLC v. Fishel et al., several Acordia employees (called the "Fishel team") left the company in 2005 and began working with a competitor, Neace-Lukens. These employees had previously signed noncompete agreements with Acordia’s predecessor companies, prohibiting them from competing with the predecessors for two years after termination. They did not sign new agreements with the surviving company. …

California Stands Firm in Rejecting Non-Compete

With the economy down, many well-known employers in virtually every industry across the country have increased their efforts to protect their customer relationships, market share, and confidential business information by bringing no-compete and/or trade secret misappropriation litigation against former employees and competitors. These lawsuits have included:

  • Bear Stearns suing a former executive director who joined a competitor in Massachusetts;
  • Motorola suing a former executive in Illinois who joined Apple;
  • Clear Channel suing a former vice president who joined The Tribune Co. in Illinois;
  • Wachovia suing Banc of America and three former Wachovia employees in Virginia;
  • Countrywide suing an ex-manager in
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