Archives: Injunctions

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State and Federal Trade Secrets Claims Upheld By Northern District of Illinois

A May 11, 2017 decision by Judge Chang, in the Northern District of Illinois, found misappropriation alleged under the Defend Trade Secrets Act (DTSA) and the Illinois Trade Secrets Act (ITSA), in a case where the employee downloaded files while still employed.  Denying the Defendant’s Motion to Dismiss a Third Amended Complaint, the Court examined … Continue Reading

Non-Solicitation Agreement Enforced in Wisconsin

There are so many stories about restrictive covenants being unenforceable in Wisconsin that it is refreshing to see a case where a restrictive covenant is enforced – especially at the preliminary injunction stage.   This week, the U.S. District Court for the Eastern District of Wisconsin granted a preliminary injunction in favor of BMO Harris Bank, … Continue Reading

Florida Federal Court Raises the Bar on Irreparable Injury

 Businesses seeking injunctive relief to enforce non-competition agreements in Florida might be required to show the confidential information they seek to protect is neither unnecessary nor outdated, according to a recent ruling in Transunion Risk and Alternative Data Solutions, Inc. v. Challa, 2016 U.S. Dist. LEXIS 166346, Case No. 9:15-cv-91049 (S.D. Fla. March 23, 2016).  The … Continue Reading

Nike Lawsuit Against Former Designers Will Test Company Security Initiative

Athletic shoe manufacturer Nike filed suit on December 8, 2014 in Multnomah County Circuit Court in Oregon against three of its former designers alleging that the designers misappropriated Nike’s trade secrets and conspired with Adidas to start a new, competing business venture. The three former designers, Denis Dekovic, Marc Dolce and Mark Miner, all resigned … Continue Reading

Delay Leads to Denial of Request for Injunctive Relief in New Jersey Lawsuit

A recent decision from the United States District Court for the District of New Jersey highlights the perils of delay before applying for injunctive relief.   In PTT, LLC v. Gimme Games, et al.  No. 13-7161 (JLL/JAD), PTT, a slot machine developer, sued competitor Gimme Games and former PTT executives who started Gimme Games, for misappropriation, … Continue Reading

Federal Court in Minnesota Rejects Automatic Tolling of Non-Compete

We have previously written about tolling provisions on this blog.  In a decision from the U.S. District Court for the District of Minnesota, Judge Patrick J. Schiltz held that, under Minnesota law, non-compete terms do not automatically reset upon violation. The decision in U.S. Water v. Watertech of America, No. 13-CV-1258 (PJS/JSM), concerned a motion for a preliminary … Continue Reading

Georgia Supreme Court Rejects Inevitable Disclosure Doctrine

The inevitable disclosure doctrine is a common law doctrine that has been used by some courts to prevent a former employee from working for a competitor, even in the absence of a non-compete, because the former employee’s new job duties would inevitably require him to rely upon, use or disclose his former employer’s trade secrets.  This … Continue Reading

Nebraska Court Addresses Meaning of “Solicitation” in Non-Compete Agreement

A Federal Court in Nebraska issued a preliminary injunction enforcing an employee non-compete agreement in a case that explains, for the first time, what a Nebraska court may consider “solicitation.”  The case, Farm Credit Services of America v. Opp, No. 8:12-cv-382 (D. Neb. 2013), involved a crop insurance salesman, Opp, who signed a non-compete agreement … Continue Reading

NY Appellate Division Rejects Challenge to Forum and Choice of Law by California Defendant

In the latest chapter of an ongoing dispute between Aon Risk Services and Alliant Insurance Services (stemming from Alliant’s hiring of dozens of Aon employees and accepting millions in annual revenue from former Aon clients), on January 10, 2013, the New York State Supreme Court, Appellate Division, First Department issued a decision upholding key rulings of the … Continue Reading

Court Orders Monitoring to Ensure Employee does not Breach Non-Compete

A U.S. District Judge in Connecticut recently issued an injunction against a former employee of Amphenol Corp and his new employer, TE Connectivity, Ltd, despite the lack of any evidence of competition in breach of his non-compete agreement.  The decision in Amphenol v Paul, Civ. No. 3:12cv543 (D. Conn. Nov. 9, 2012),  involved a former business unit director of Amphenol who had been … Continue Reading

Will Tolling Provisions Gain Popularity?

Tolling clauses in non-compete agreements extend the period of noncompetition by a period of time usually equal to the time an employee is in violation.  Appellate courts in some states, including Illinois and Massachusetts, have affirmed injunctions based on contractual extension clauses. For example, in Prairie Eye Center v. Butler, No. 4-01-0005 (Ill. Ct. App. … Continue Reading

Trade Secrets – Is Kevlar the New Coke?

Kevlar (R), a high-strength para-aramid fiber created by E. I. du Pont de Nemours and Company and famously used in body armor for soldiers and police officers, is the subject of a recent criminal indictment by the U.S. Justice Department against Kolon Industries, Inc. and several of its executives. According to the October 18, 2012 press … Continue Reading
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