A good non-solicitation and confidentiality agreement, combined with other key provisions, and smart business practices, can deter client poaching and preserve the relationship between the salon and its clients even in the face of its employees’ departure.
Anyone who has been running a business for a while knows that January is a high turnover month for employees. And while companies cannot prevent
I will be presenting with Stanley Santire of Santire Law Firm on the The Rise in Trade Secrets and Restrictive Covenants Litigation on January 17th
Every business should take at least the following steps to protect its trade secrets: (1) have employees sign non-competition / non-solicitation and confidentiality agreements and (2) turn on proper security features on all document management systems and databases, such as Google Share Drive, Microsoft 365, Dropbox, etc., and any databases used by the business.
Few employees realize that when they take their employers’ trade secrets with them prior to leaving their job they may be exposing themselves to criminal liability under the Economic Espionage Act, which makes it a crime to steal trade secrets when (1) the information relates to a product in interstate or foreign commerce (which is virtually any product now days) or (2) the intended beneficiary is a foreign power.
The Tax Cuts and Jobs Act prohibits companies from claiming tax deduction for confidential settlements paid for sexual harassment and abuse and the related lawyer’s fees.