Category: Non-Compete Agreements in Texas

Renewing Non-Disclosure Agreements with Employees? Consider this . . .

In my practice, I see this scenario all the time: an employee leaves to work for a competitor, the employer realizes that its non-disclosure (NDA) or non-compete agreement was inadequate to protect it from what just happened, so the company rolls out a new…

The Biggest Myth About Non-Compete Agreements

In Texas, non-compete agreements are enforceable if they meet certain requirements and contain reasonable restrictions on the term, geographic scope and the scope of the restrained activities.

Enforcing Non-Compete Agreements in Texas – The Issue of Consideration

In this state, the consideration must have a “reasonable relationship” to the employer’s interest in restraining the employee from competing. Simply restricting an employee from lawful competition for the sake of preventing competition will almost certainly fail.

White House Calls on States to Ban or Limit Non-Compete Agreements

On Tuesday, the White House issued a call to action to state policymakers to do the following: 1.  Ban non-compete clauses for categories of workers, such as workers under a certain wage threshold; workers in certain occupations that promote public health and safety; workers…

What Should a Company do When it Suspects That an Employee Stole Its Trade Secrets?

Employees take their employers’ trade secrets all the time. It’s a fact of life.  No matter what systems an employer has in place, sooner or later a key employee will depart and take some trade secret information, data, or documents with them. Most employees…

Texas Non-Competes Soon Will Be Unenforceable in California

With so many companies moving their headquarters from California to Texas in the recent years, non-compete disputes involving employees and employers who have ties to both states have multiplied.   In these types of cases, one of the first questions the courts ask is which state’s…

Fox Goes to War with Netflix Over Two Programming Executives Who Jumped Ship

In a move that suggests that Fox might be feeling the burn of Netflix competition, the network Goliath has recently sued the king of online streaming over hiring of its two programming executives.  In the lawsuit, Fox claims that Netflix induced these employees to breach their employment agreements with Fox…

The Difference Between Non-Competition and Non-Solicitation Restrictions

Some states prohibit these restraints in employment contracts completely. Others allow one but not the other. Texas allows both. These restrictions on employees are meant to protect employers’ investment in their employees and confidential information shared with them during their employment.  A prudent employer will use one…

Want to Switch Jobs, But Not Sure if You Can? Do Not Let A Non-Compete Hold You Down.

Many employees sign non-compete agreements without giving it a second thought, but then a time comes when the company starts slumping, they get a new boss that they do not particularly like, receive a better job offer from a competitor of their current employer, or…

Are Non-Compete Agreements Enforceable in Texas?

Generally, Texas allows non-compete agreements between employers and employees as long as they are reasonable in scope, geographic area, and term, and meet a few other requirements. See my previous posts about those requirements here, here, and here.  Practically speaking, however, whether a particular non-compete agreement…