An anti-Raid regime is a trade restriction and is subject to Texas non-compete status. In Marsh`s 2011 opinion, which we discussed earlier, the Texas Supreme Court dealt with this issue. In this case, the non-competition agreement contained a clause that the outgoing worker “does not solicit any worker [ex-employer] [to directly or indirectly ask the [outgoing worker] to terminate his employment with [the former employer] in order to compete with [the former employer]”. In the section of the opinion, in which the Tribunal established general rules for assessing the applicability of non-competition clauses, the Court explained that “alliances that restrict the professional mobility of former workers or limit their application to clients and workers of former employers are commercial restrictions and are subject to the [Covenants Not to Compete Act].” See Marsh USA, Inc. v. Cook, 354 S.W.3d 764, 768 (Tex 2011). Other courts have made similar judgments on Marsh`s basis. A federal appeals court recently ruled that a “non-rehire” regime overspending in a transaction agreement with a former employee could constitute an illegal restriction on trade under California law. It`s finally happened.
After years of debate on Beacon Hill, Massachusetts lawmakers have agreed to reform the Commonwealth`s treatment of non-competition bans. The bill prohibits, among other things, the application of non-competitive agreements against non-tax-exempt workers, limits their duration to only 12 months and excludes the use of “maintenance of employment” in acceptable consideration. When the governor is signed, the bill will apply to agreements reached on or after October 1, 2018. There are four fundamental types of restrictive alliances. A non-compete clause prohibits a former worker from confronting his former employer for a specified period of time in a given geographic area. These are considered to be the most restrictive. A non-formal notice provision prohibits a former employee from requesting current, past or potential clients of his former employer for a specified period of time. An anti-raiding scheme prohibits a former employee from asking, for example, employees of the former employer to work in a competing company. A confidentiality agreement prevents a former employee from disclosing or using proprietary or confidential information from his or her former employer or his employer`s clients.
Contentious information should not, in itself, constitute a “trade secret”; it must simply be confidential and not accessible to the public. A fifth, called a “gardening holiday,” is a relatively new import from the United Kingdom and other European countries to the United States. This provision requires a worker to notify his future departure. For a period of time, the worker remains employed, although he or she does little or no work.