Texas Court Enters a Trade Secrets Injunction Against a Healthcare Staffing Company Based on Its Manager’s Actions

A Texas federal court recently entered an injunction against a healthcare staffing company that works with federal agencies ordering it to (1) return information brought to it by a new hire from his previous employer and (2) not to use such information in any way to submit bids on any staffing contracts with federal agencies.

Are Non-Competes Enforceable for Employees Fired for Refusing Covid-19 Vaccine?

Texas employees who refuse COVID-19 vaccine may be terminated. If they have a non-compete agreement with their employer, assuming the agreement meets the appropriate legal requirements, i.e., among other things, is reasonable, has geographic, scope, and term restrictions, and is supported by consideration, the fact that the employee was terminated or quit over the COVID-19 vaccine requirement, is not going to make the agreement invalid.

What is a “Reasonable” Non-Competition Agreement?

The the hallmark of enforcement of non-compete agreements in Texas is whether or not the covenants are reasonable.  Generally, a reasonable area for in a covenant not to compete is considered to be the territory in which the employee worked. Furthermore, noncompete agreements barring an employee from working for a competitor in any capacity are invalid. 

Are Surgery Centers’ Non-Compete Agreements Valid in Texas?

In recent years, it has become quite common for surgeons to become part owners of free-standing ambulatory surgery centers in Texas. Often, their purchase of the ownership comes with the strings attached – a requirement that they perform a certain number of surgeries at that particular ACS and that they do not compete with the ACS within a certain geographic radius.

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