Enforcement of Non-Compete and Non-Solicitation Provision

Non-compete provisions are not always fair. The same can probably be said about non-solicitation provisions. Typically, these provisions (referred to as restrictive covenants) are included in an employment agreement as a condition of employment. But, if there is a legitimate business interest for these provisions, and they are limited in scope, they are enforceable and relief, including injunctive relief, can be sought. Restrictive covenants in employment-related agreements, such as a non-compete and non-solicitation provision, are governed by Florida Statute s. 542.335. A party (e.g., employer) seeking a temporary injunction against another (e.g., employee) must demonstrate four elements: “(1) the likelihood...

30 April

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Florida’s Uniform Trade Secrets Act cannot be used to Restrict Competition

Posted by David Adelstein

in Trial Perspectives

Florida's Uniform Trade Secrets Act is contained in Florida Statutes Chapter 688. This Act authorizes courts to take reasonable steps to preserve the confidentiality of trade secrets including ordering injunctive relief to prevent a party (such as a former employee) from misappropriating trade secrets. Norton v. American LED Technology, Inc., 43 Fla.L.Weekly D951a (Fla. 1st DCA 2018). However, as confirmed by the First District in Norton, Florida's Uniform Trade Secrets Act cannot be used as a sword to restrict or stifle direct competition. In other words, it is improper for a trial court to issue a temporary injunction restricting direct...

19 March

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Enforcing Non-Compete Agreement with Injunctive Relief

Posted by David Adelstein

in Uncategorized

There are numerous employers that want employees to sign a non-compete, non-disclosure, and non-solicitation agreement (collectively, the “non-compete agreement”). For good reason, they don’t want to train employees to learn the business’ trade secrets and business practices (e.g., marking strategies, pricing, techniques, customer lists, etc.) only to then compete with the employer and solicit its clients. The non-compete agreement will allow the employer to move for injunctive relief if a former employee violates the agreement to maintain the status quo and prevent the irreparable harm to the employer. An example is as follows. In Allied Universal Corp. v. Given, 42 Fla....

17 January

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Quick Note: So You Want to Appeal an Injunction Entered Against You…

Posted by David Adelstein

in Appeal

So you want to appeal the issuance of an injunction entered against you. (There are numerous reasons why injunctive relief may be entered by the court in a civil context - check out this article as an example.) “If the injunction rests on factual findings, then a trial court's order must be affirmed absent an abuse of discretion; but if the injunction rests on purely legal matters, then an injunction is reviewed de novo.” Nipper v. Walton County, Florida, 42 Fla. L. Weekly D171a (Fla. 1st DCA 2017). Stated differently, there is an abuse of discretion standard of appellate review...