Financial Firms Revisiting Approach to Restrictive Covenants

Kollman & Saucier
Kollman & Saucier
01/26/2018
Many business owners utilize some forms of restrictive covenants when hiring employees.  Whether it is to protect trade secrets or customer lists, or to ensure that sensitive information remains confidential, employees routinely execute agreements barring them from competing with their former employer, soliciting their former employer’s clients, or taking certain information with them when they leave. While the enforcement of these covenants...
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Case Dismissed: Judge Rules Allied Fire Can’t Compete in Court

A case decided this week by a Maryland federal court highlights the importance of careful drafting when it comes to non-compete agreements. Allied Fire Protection, Inc. v. Huy Thai, No. 17-551 (D. Md. 10/2/17).  In this case, Allied Fire Protection sought to enforce such an agreement when defendant Thai, a high-level employee, left to join Allied’s competitor.  Specifically, the agreement prohibited Thai from directly or indirectly engaging in...
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