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More Security Issues - Shannon Blatt/VA
7/9/2005 10:47:23 AM (2622 views)
Re: More Security Issues - Shannon Blatt/VA
7/9/2005 10:52:18 AM (3508 views)
Re: More Security Issues - Julie Jasiunas/WI
7/9/2005 10:56:57 AM (3400 views)
Re: More Security Issues - Julie Jasiunas/WI
7/9/2005 11:08:55 AM (5664 views)
Re: More Security Issues - Scott Perry/PA
7/9/2005 11:51:02 AM (3292 views)
Re: More Security Issues - Shannon Blatt/VA
7/9/2005 7:17:57 PM (3219 views)
Re: More Security Issues - george Hubka/MI
7/9/2005 8:36:47 PM (3323 views)
Re: More Security Issues - Lisa Ramsey/TX
7/9/2005 11:00:28 PM (3279 views)
Re: More Security Issues - Kevin Ahern/CT
7/9/2005 8:56:48 PM (3342 views)
Re: More Security Issues - george Hubka/MI
7/9/2005 9:00:21 PM (3156 views)

E&O insurance continued... - Loretta Reed/MD
7/9/2005 10:18:53 AM (2546 views)
Re: E&O insurance continued... - Julie Jasiunas/WI
7/9/2005 10:46:50 AM (3429 views)
Re: E&O insurance continued... - Lisa Ramsey/TX
7/9/2005 11:26:57 AM (3393 views)
Re: E&O insurance continued... - Julie Jasiunas/WI
7/9/2005 12:19:54 PM (3376 views)
Re: E&O insurance continued... - Shannon Blatt/VA
7/9/2005 7:19:40 PM (3560 views)
Re: E&O insurance continued... - george Hubka/MI
7/9/2005 8:41:35 PM (3510 views)
Re: E&O insurance continued... - Lisa Ramsey/TX
7/9/2005 10:58:14 PM (3306 views)
Re: E&O insurance continued... - george Hubka/MI
7/10/2005 11:29:10 PM (3321 views)
Re: E&O insurance continued... - Marsha Fox/AL
7/11/2005 8:20:50 AM (3695 views)
Re: E&O insurance continued... - Loretta Reed/MD
7/12/2005 8:32:28 AM (3365 views)
Re: E&O insurance continued... - Donna Grady/NC
7/16/2005 10:56:00 PM (3301 views)

Former employees disclosures - SHARON YAHRAES/ID
7/9/2005 2:30:28 AM (2762 views)
Re: Former employees disclosures - Kevin Ahern/CT
7/9/2005 6:58:08 AM (3365 views)

Non compete clauses (more properly called restrictive covenants) are equitable remedies (sometimes called extraordinary remedies).In Connecticut they are enforceable but difficult and expensive to enforce. There was a case here several years ago involving a local television personality that enforced a restrictive covenant to a limited degree. In states in which they are enforceable they are usually narrowly construed by the courts to effectuate their remedial purpose. This is because you are attempting to limit someone in their ability to earn a living.

The court will examine the restrictive covenant to make certain that it is reasonable in terms of the 1. scope of the activity you want to restrict, 2. the time period for which you wish to restrict the activity and 3. the size of the geographical area in which you want to restrict the activity (your marketing area).

If any one of the three is deemed to be unreasonable by the court, the covenant will not be enforced or in the alternative the court may enforce it to a lesser degree (smaller area, shorter time or more limited activity). It will not fully enforce the covenant to the extent that it seeks to limit the activity in areas beyond the plaintiff's marketing area, to the extent that the duration of the restriction is too long or to the extent that the activity to be restricted is broader than the type of business in which you are engaged.

I read a case a while ago in which an orthodontist had hired a young dentist to work for him subject to a restrictive covenant. After several years the dentist resigned, and opened his own practice (Not including orthodonture work) in the same area as the orthodontist. When the orthodontist sued to enforce restrictive covenant, the court ruled that the covenant was reasonable to the extent of the five county geographical which was the orthodontist's marketing area. It further held that the five year duration of the restrictive covenant was reasonable, but held that the scope of the activity sought to be restricted (all dentistry) was overly broad and unreasonable. The court elected to fashion a more limited remedy. It enforced the covenant to the extent that there was competition in the area of orthodonture only, but left the dentist free to practice other forms of dentistry.  

When you initiate a suit to enforce a restrictive covenant, the plaintiff is seeking injunctive relief from the court. An injunction is a court order enforcing the restrictive covenant. The plaintiff usually seeks three court orders in the course of the suit. He normally seeks a short restraining order of several weeks duration which temporarily enforces the restrictive covenant until a court hearing can be scheduled to have a temporary injunction issued. The temporary injunction , if granted by the court, enforces the covenant for the duration of the case. That could be several years before it comes to trial depending on the court's backlogue of cases. Therefore, in some states it is customary for the court to require the plaintiff to post a bond to compensate the defendant for his lost wages during the period of the temporary injunction in the event that that plaintiff loses his case. If the plaintiff is successful, the court will issue a permanent injunction enforcing the restrictive covenant.

If your state has a trade secrets statute, you may want to have your attorney redraft your employment contracts to define sensitive information (i.e. identities of clients, your pricing structure, etc.) as a trade secret. You could then seek enforcement of the remedies provided by the statute. This provision could be contained in your employment contracts in addition to the restrictive covenants. It would be an additional remedy, and depending upon the state in which you reside it may be easier to enforce than the restrictive covenant. 

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Re: Former employees disclosures - SHARON YAHRAES/ID
7/9/2005 12:46:36 PM (3534 views)
Re: Former employees disclosures - Kevin Ahern/CT
7/9/2005 4:18:22 PM (3501 views)
Re: Former employees disclosures - Lisa Ramsey/TX
7/9/2005 11:34:09 AM (3540 views)
Re: Former employees disclosures - SHARON YAHRAES/ID
7/9/2005 12:43:23 PM (3529 views)
Re: Former employees disclosures - Douglas Gallant/OH
7/16/2005 4:43:54 PM (3441 views)
Re: Former employees disclosures - Lisa Ramsey/TX
7/17/2005 1:38:54 PM (3492 views)
Re: Former employees disclosures - SHARON YAHRAES/ID
7/17/2005 11:04:32 PM (3288 views)
Re: Former employees disclosures - Robert Franco/OH
7/9/2005 1:13:29 PM (3521 views)
Re: Former employees disclosures - Shannon Blatt/VA
7/9/2005 7:28:02 PM (3580 views)
Re: Former employees disclosures - Kevin Ahern/CT
7/9/2005 8:52:53 PM (3475 views)
Re: Former employee disclosures - Galavantin Avatar/CA
7/15/2005 2:10:03 PM (3469 views)

Public Note of Thanks - Helene Gonzalez/GA
7/8/2005 10:23:42 PM (3503 views)
Re: Public Note of Thanks - Robert Franco/OH
7/9/2005 11:13:50 AM (3246 views)
Re: Public Note of Thanks - Lisa Ramsey/TX
7/9/2005 11:17:24 AM (3289 views)
Re: Public Note of Thanks - Helene/GA
7/13/2005 11:39:49 PM (3337 views)

abstracting in LA - Michael Frank/TX
7/8/2005 10:13:51 AM (2489 views)
Re: abstracting in LA - Michael Frank/TX
7/8/2005 4:26:00 PM (3267 views)




So, You Want To Out-Source Overseas??? - Jay Duncan/MO
7/7/2005 12:49:46 PM (3594 views)
Re: So, You Want To Out-Source Overseas??? - Jay Duncan/MO
7/7/2005 4:11:52 PM (5374 views)
Re: So, You Want To Out-Source Overseas??? - David Bloys/TX
7/10/2005 10:48:55 PM (6292 views)

Nationwide Title Clearing - Danielle Nelson/WI
7/7/2005 10:27:44 AM (2719 views)
Re: Nationwide Title Clearing - Never Again!!! - Jay Duncan/MO
7/7/2005 12:47:25 PM (3903 views)
Re: Nationwide Title Clearing - Never Again!!! - LAWANDA MCMILLIAN/AR
7/7/2005 4:02:56 PM (3658 views)
Re: Nationwide Title Clearing - Never Again!!! - george Hubka/MI
7/7/2005 11:06:30 PM (3496 views)
Re: Nationwide Title Clearing - Never Again!!! - LAWANDA MCMILLIAN/AR
7/8/2005 8:18:14 AM (3486 views)
Re: Nationwide Title Clearing - Never Again!!! - Bannon Lucas/FL
7/15/2005 11:30:07 AM (3526 views)
Re: Nationwide Title Clearing - Never Again!!! - Robert Franco/OH
7/15/2005 12:41:55 PM (3497 views)
Re: Nationwide Title Clearing - Never Again!!! - Lisa Ramsey/TX
7/16/2005 2:31:48 PM (3323 views)
Re: Nationwide Title Clearing - Never Again!!! - Jay Duncan/MO
7/16/2005 11:02:26 PM (3371 views)
Re: Nationwide Title Clearing - Never Again!!! - Jay Duncan/MO
7/19/2005 10:45:01 AM (3357 views)
Re: Nationwide Title Clearing - Never Again!!! - Bannon Lucas/FL
7/20/2005 4:35:33 PM (3573 views)

Abstractor Software... - Robert Franco/OH
7/6/2005 5:03:56 PM (2049 views)

Texas Courthouses - Lisa Ramsey/TX
7/2/2005 1:06:43 PM (2086 views)

Women in business resource - J Nisonger/CA
7/1/2005 11:55:16 AM (3079 views)

Searcher Liability Question - Larry Crooks/OH
6/29/2005 4:02:29 PM (2648 views)
Re: Searcher Liability Question - Kevin Ahern/CT
6/29/2005 5:03:27 PM (3456 views)
Re: Searcher Liability Question - Robert Franco/OH
6/29/2005 7:17:46 PM (3674 views)
Re: Searcher Liability Question - Lisa Ramsey/TX
6/29/2005 11:39:52 PM (3740 views)
Re: Searcher Liability Question - Larry Crooks/OH
6/30/2005 6:49:16 AM (3561 views)
Re: Searcher Liability Question - Kevin Ahern/CT
6/30/2005 8:41:48 AM (3807 views)
Re: Searcher Liability Question - Robert Franco/OH
6/30/2005 10:05:58 AM (3702 views)
Re: Searcher Liability Question - Larry Crooks/OH
6/30/2005 12:37:48 PM (3537 views)
Re: Searcher Liability Question - Regina Engebritson Engebritson/MN
8/10/2005 8:33:33 PM (3437 views)

reporting tax status on searches - christine/MA
6/29/2005 9:02:48 AM (2634 views)
Re: reporting tax status on searches - ANDREW MOLLER/CT
6/29/2005 10:45:43 AM (3492 views)
Re: reporting tax status on searches - Steve Schneider/IN
6/29/2005 12:48:32 PM (3470 views)
Re: reporting tax status on searches - Danielle Nelson/WI
6/29/2005 12:58:02 PM (3412 views)
Re: reporting tax status on searches - Scott Perry/PA
6/29/2005 5:45:48 PM (3414 views)
Re: reporting tax status on searches - Kim Haase/MT
6/30/2005 1:26:31 AM (3715 views)

In Response to Robert's Thread of 6/24 - J.T. Shoemaker/NY
6/27/2005 9:16:08 AM (3233 views)

Mr Davis and his claims - James "Lin" Toney/MS
6/26/2005 11:23:26 PM (2671 views)
Re: Mr Davis and his claims - J.T. Shoemaker/NY
6/27/2005 9:20:06 AM (3546 views)
Re: Mr Davis and his claims - Deborah Manion/VA
6/27/2005 9:39:35 AM (3491 views)
Re: Mr Davis and his claims - James "Lin" Toney/MS
6/27/2005 5:18:18 PM (3359 views)
Re: Mr Davis and his claims - J.T. Shoemaker/NY
6/27/2005 8:37:06 PM (3447 views)
Re: Mr Davis and his claims - David Chisolm/MS
6/30/2005 5:12:56 PM (3506 views)
Re: Mr Davis and his claims - James "Lin" Toney/MS
6/30/2005 6:21:49 PM (3532 views)
Re: Mr Davis and his claims - James "Lin" Toney/MS
7/2/2005 12:17:02 AM (3544 views)

QUESTION FOR TECHIES - Scott Perry/PA
6/26/2005 10:21:53 PM (2509 views)
Re: QUESTION FOR TECHIES - Robert Franco/OH
6/27/2005 12:54:39 AM (3490 views)
Re: QUESTION FOR TECHIES - Christy Rathbun/CT
6/27/2005 2:00:24 AM (3550 views)
Re: QUESTION FOR TECHIES - Scott Perry/PA
6/30/2005 7:14:47 PM (3901 views)
Re: QUESTION FOR TECHIES - Cherie Smurthwaite/CA
6/30/2005 10:01:20 PM (3772 views)
Re: QUESTION FOR TECHIES - J Nisonger/CA
7/1/2005 1:11:29 PM (3857 views)
Re: QUESTION FOR TECHIES - Robert Franco/OH
7/1/2005 3:33:03 PM (3670 views)
Re: QUESTION FOR TECHIES - Scott Perry/PA
7/2/2005 12:21:20 PM (3728 views)


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