Last week, a federal court in Texas refused to enforce a company’s non-compete agreement against four key employees who started a competing business because the agreement was missing a key term – the end date. The above situation can be avoided through simple practice of: (1) knowing what is in the company non-compete agreements; (2) making sure all the key provisions required by the relevant statutes are included; and (3) periodically updating non-compete agreements so that they are compliant with the relevant state law.
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.
The courts around the country seem to agree that the more “passive” the social media activity is, the less likely it is to constitute a prohibited solicitation of customers or employees, and the more “active” the posts are or the more akin they are to oral solicitations, the more likely they are to violate non-solicitation prohibitions. In this post, I take a closer look at the various decisions from across the country and synthesize common themes.
In Texas, non-compete agreements are generally enforceable if they meet certain requirements. Specifically, they must be: (1) part of an otherwise enforceable agreement, (2) reasonable,
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
Unlike many other states around the country, Texas did not see any drastic changes in its non-competition laws in 2018. However, out of a 100 + cases involving non-competition disputes, the following handful stand out either because they addressed a novel issue or clarified an area of confusion in this gray area of the law.