Category: Temporary Injunctions

The Fifth Circuit Issues Its First Decision on the Defend Trade Secrets Act

The Fifth Circuit Court of Appeals recently ruled that: (1) a party must “prevail” before it can recover any attorney’s fees under the Defend Trade Secrets Act and (2) a plaintiff’s dismissal of its claims without prejudice does not confer the “prevailing party” status on defendants. 

An Injunction in a Theft-of-Trade-Secrets Case Cannot Prohibit a Party From Using Publicly Available Information

A court order prohibiting defendant from using trade secrets must be broad enough to cover all possible circumstances while narrow enough to include only the illegal activities.  Where that line lies depends on the circumstances of each particular case. 

Enforcing Non-Compete Agreements in Texas with an Injunction Requires Proper Timing

What a lot of companies do not realize, however, is that if they wait too long to ask for an injunction after finding out about the employee’s competitive activities, a court may deny their request simply because they waited too long

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…

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…

You Got a Non-Compete Injunction, But Can You Make it Stick in Texas?

Last month, the Dallas Court of Appeals ruled on two temporary injunction orders – one was affirmed (i.e. it continued to be enforce) and the other one was dissolved (i.e. it was declared void). What was the key difference? The first injunction, in HMS Holdings…

Fair v. Unfair Competition, or the Real Life Case of Globo Gym v. Average Joes

While we patiently wait for a sequel to Dodgeball: A True Underdog Story to come out, a similar saga involving competing gym/spa establishments has been unfolding in Houston, Texas (minus the dodge ball tournament and shiny singlets) recently culminating in a lawsuit in the federal district court for…

How Long Does a Trade Secret Injunction Last in Texas?

According to a recent decision from the Dallas Court of Appeals, a permanent injunction should last forever, unless the company or the person accused of misappropriating the trade secrets provides sufficient proof that a lesser time period is adequate.  What does this mean? Well, it…

In Texas, Non-Compete Agreements Without Time Limit Are Unenforceable

Earlier this week, the Dallas Courts of Appeals sided with an employee in Richard P. Dale, Jr., d/b/a Senior Healthcare Consultants v. Hoschar in ruling that her non-competition agreement was unenforceable because it did not contain a reasonable time limitation. Hoschar, who worked as an insurance sales agent…

A Temporary Injunction Order Enforcing a Non-Compete Agreement in Texas Must Pass the Muster of Rule 683 or Face Dissolution

All temporary injunctions in Texas must comply with Rule 683 of Texas Rules of Civil Procedure, which requires every injunctive order to “set forth the reasons for its issuance; [] be specific in terms; [and] describe in reasonable detail and not by reference to…

Failure to Include a Trial Date In a Temporary Injunction Order to Enforce a Non-Competition Agreement Will Result in a Void Order

A while back I wrote a post regarding the Fifth Court of Appeals reversing a temporary injunction order because it had failed to describe specifically what trade secrets and proprietary information the company’s former employees were prohibited from releasing. Last week, the First Court…

To Protect Trade Secrets, Make Sure the Temporary Injunction Explains What They Are

When a company learns that its former employees are releasing or using the company’s trade secrets, it needs to act fast. No company, therefore, wants to spend precious time and money trying to obtain a temporary injunction preventing the release of the confidential information,…

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