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Trade Secrets | Noncompetes

Providing news and commentary on trade secrets, restrictive covenants, computer fraud, and employee mobility.

September 26, 2023

California doubles down on its anti-noncompete, anti-nonsolicit policy

Another anti-noncompete, anti-nonsolicit bill in California is now on the Governor’s desk. The bill says that California’s prohibition on restrictive covenants is to be read broadly and requires companies to notify employees subject to a covenant that violates that law that their restrictions are void and unenforceable. It operates retroactively and, not surprisingly, there are penalties.

Another anti-noncompete, anti-nonsolicit bill in California is now on the Governor’s desk. The bill says that California’s prohibition on restrictive covenants is to be read broadly and requires companies to notify employees subject to a covenant that violates that law that their restrictions are void and unenforceable. It operates retroactively and, not surprisingly, there are penalties.
September 21, 2023

FTC signs MOU with DOL to “protect” workers

FTC and DOL have entered an MOU to “protect” workers from noncompetes, nondisclosure agreements, and other restrictive covenants.

FTC and DOL have entered an MOU to “protect” workers from noncompetes, nondisclosure agreements, and other restrictive covenants.
September 18, 2023

Noncompetes, the sky is not falling

Noncompetes are under attack by legislatures, federal agencies, Congress and others. But the sky is not falling. Noncompetes are not dead.

Noncompetes are under attack by legislatures, federal agencies, Congress and others. But the sky is not falling. Noncompetes are not dead.
September 18, 2023

50-State Noncompete Chart Updated (September 18, 2023)

Our 50-state (plus D.C.) noncompete law chart has been updated to reflect various state law changes, and is available here.

Our 50-state (plus D.C.) noncompete law chart has been updated to reflect various state law changes, and is available here.
September 17, 2023

NLRB challenges noncompete, no-recruit, no-hire, training repayment agreement, and others

The NLRB is testing its theory that noncompetes and other covenants constitute unfair labor practices under the NLRB. Employers take note.

The NLRB is testing its theory that noncompetes and other covenants constitute unfair labor practices under the NLRB. Employers take note.
September 11, 2023

Delaware noncompete law trending

With the increasing hostility toward noncompetes over the past decade or so, Delaware had seemed like a safe option for choice of law and forum selection clauses. That may no longer be true.

With the increasing hostility toward noncompetes over the past decade or so, Delaware had seemed like a safe option for choice of law and forum selection clauses. That may no longer be true.
September 6, 2023

California is set to (officially) tortiously interfere with noncompetes from other states

California has decided that its public policy on noncompetes trumps the public policy of other states. Employees can now flee to California to escape their restrictive covenants.

California has decided that its public policy on noncompetes trumps the public policy of other states. Employees can now flee to California to escape their restrictive covenants.
July 17, 2023

FTC Chair grilled at House oversight hearing, and what it means for companies

FTC Chair testified at an oversight hearing before the House Judiciary Committee. She didn’t say much of substance on noncompetes, but so-called “enforcement actions” will continue. The time to take action is now – but don’t throw the baby out with the bathwater.

FTC Chair testified at an oversight hearing before the House Judiciary Committee. She didn’t say much of substance on noncompetes, but so-called “enforcement actions” will continue. The time to take action is now - but don’t throw the baby out with the bathwater.
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Fair Competition Law keeps you updated with the latest developments in the law of unfair competition, provides critical analysis of many of the most complex and vexing issues in trade secret law, noncompete law, and related areas of computer fraud and employee mobility, and provides historic and current information, an unbiased perspective, and practical advice to employers, employees, and others.

Materials created for Fair Competition Law include our easy-to-use, first-of-its-kind 50 state chart of noncompete laws around the country. First created in 2010, the 50-state survey is updated regularly, as the law develops. It is widely used by companies, lawyers, and others, and has been relied on by the leading academic researchers, as well as by the White House and United States Department of the Treasury. In 2016, we created another 50-state chart, a state-by-state comparison of each state’s trade secrets laws (and the federal Economic Espionage Act, as amended by the Defend Trade Secrets Act of 2016) to the most recent version of the Uniform Trade Secrets Act, which has been adopted (with significant variations) in almost every state. In addition, as more and more states, and ultimately the federal government, began focusing on trade secret and noncompete laws, we created a resource to help keep everyone current: “The Changing Landscape of Trade Secrets Laws and Noncompete Laws Around the Country.”

Starting in 2020, we also created the “Ten Minute Trade Secret Training” series of videos to help companies educate their employees about the risks posed to trade secrets and the best practices for protecting them. The videos cover all aspects of the employment relationship, from the recruiting and on-boarding stage, during the course of employment, and all the way through the off-boarding process.

Fair Competition Law was established in 2010 by Russell Beck, who had previously started one of the first blogs in the country about trade secrets and noncompetes before starting the boutique law firm, Beck Reed Riden LLP. Based in Boston office, the firm has a national trade secrets, restrictive covenants, and employee mobility practice.