Category: Texas Legal News

Can an employer require employees to repay training costs in Texas?

Generally, training repayment provisions in employment agreements are enforceable in Texas.  Employers should make sure that such clauses are written in a clear and understandable manner and are not hidden within employment contracts.   When determining the parameters of the reimbursement policies, companies should make sure that they comply with the Texas Texas Free Enterprise and Antitrust Act of 1983, which prohibits the restraint on trade.

2017 Welcomes Changes in Non-Compete Laws

This year, California, Illinois and Nevada amended their non-compete statutes to help protect employees’ right to change employers. Idaho, Maryland, Massachusetts, New York, and Washington considered various amendments, but were unsuccessful in signing them into law, which means they will probably try again in 2018.   

Can an Employee Prepare to Compete with His Employer While Still on the Employer’s Payroll?

In Texas, employees have the right to resign from employment and go into business in competition with their employers (absent a non-compete agreement). There is nothing legally wrong in engaging in such competition or in preparing to compete before the employment terminates. Thus, as…

Texas Statute Prohibits Firing and Discrimination Against Employees Who Evacuate

Texas employers may not discharge or otherwise discriminate against an employee who “leaves the employee’s place of employment to participate in a general public evacuation ordered under an emergency evacuation order.” Tex. Labor Code § 22.002. An emergency evacuation order means an official statement…

When Stopping Competition with A Temporary Injunction, It Pays To Be Precise

A lot of times a company rushes to court asking the judge to stop a former employee or his new employer from using the company’s confidential information or soliciting its customers based on the agreements that the former employee had signed with the company.    

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…

Texas Amends Its Trade Secrets Statute Effective September

Texas’ recent amendments to its trade secrets statute made it the most comprehensive and modern statute in the nation. It is the only statute in the nation that addresses when a competitor can be excluded from the courtroom to prevent disclosure of trade secrets during the lawsuit.

Texas Supreme Court Nixes Employee’s Defamation Claim, Reinforces At-Will Employment Doctrine

Last week, the Texas Supreme Court declined to recognize a theory of compelled self-defamation, and, in rejecting it, joined an emerging majority of state courts that have considered the issue, including those in Connecticut, Massachusetts, Hawaii, Tennessee, Iowa, Pennsylvania, and New York.

Proving Lost Profits in a Trade Secrets Case – An Expensive Lesson from a Texas Court of Appeals

Before filing a trade secrets case or in the early stages of such case, a company bringing a lawsuit should always consider the following questions: (1) what damages did we suffer? (2) how do we calculate such damages? (3) how do we prove the damages in court?

A Two Day Suspension is Not a Materially Adverse Action – Rules the Fifth Circuit

An employee must show that unpaid leave caused him or her physical, emotional, or economic harm via some documentation and not just conclusory statements in order to establish a “materially adverse action” by the employer.