Mediate Early and Sometimes Often

By Thomas Hubert on November 3, 2023 Posted in Non-Compete, Trade Secret

Closeup of male hand signing legal or insurance document on black desk with reflection.

Trade secret, breach of fiduciary duty, unfair trade practices, breach of restrictive covenants and retention agreements, and the many state and federal claims that come with departing employees or groups of employees often scream out for mediation. As our blog has demonstrated time and again, aggressive, and immediate action is necessary in these situations and typically once the gauntlet is thrown down, settlement is difficult. Nonetheless, this is exactly why early consideration of how to develop a business solution at the outset is so important.

Effects of FTC’s Proposed Changes on Mergers and Acquisitions

By Jones Walker LLP on July 10, 2023 Posted in Federal Trade Commission

The Federal Trade Commission (FTC) is proposing changes to the Hart-Scott-Rodino, or HSR, filing rules for mergers and acquisitions.

Brett Beter, a partner in the Corporate Practice Group was recently interviewed by the Greater Baton Rouge Business Report about the FTC’s proposed rule changes to merger and acquisition rules.

Louisiana OMV Data Breach – How Should You Respond?

By Andy Lee and Lara Sevener on June 16, 2023 Posted in Confidential Information, Data Protection

On Thursday, June 15, the Louisiana Office of Motor Vehicles (OMV) experienced a data security breach resulting in the loss of the personal information of potentially millions of Louisianans due to a global cyberattack involving the exploitation by hackers of a vulnerability in MOVEit Transfer, an electronic file transfer tool developed by Progress Software. In a press release, the OMV announced that it suspects the personal data of all individuals who possess a Louisiana state-issued driver’s license, ID, or car registration may have been exposed to the criminal cyber attackers, a ransomware gang known as “Clop.”

NLRB Issues Memo on Non-competes Violating NLRA

By R. Scott Jenkins on June 1, 2023 Posted in Non-Compete

On May 30, 2023, Jennifer Abruzzo, the General Counsel for the National Labor Relations Board (NLRB), issued a memorandum declaring that non-compete agreements for non-supervisory employees violate the National Labor Relations Act. The memo explains that having a non-compete chills employees’ Section 7 rights when it comes to demanding better wages. The theory goes that employees cannot threaten to resign for better conditions because they have nowhere to go. Non-compete agreements also prohibit employees from seeking better working conditions with competitors and/or soliciting coworkers to leave with them for a local competitor.

Federal Appellate Court Vacates Order Denying Injunction in Biotechnology Trade Secret Dispute

By Jacob Pritt on April 25, 2023 Posted in Trade Secret

The United States Court of Appeals for the Fifth Circuit in New Orleans recently vacated an order from a Texas-based district court denying a preliminary injunction to Direct Biologics, LLC (“Direct Biologics”). The court ruled that Direct Biologics had presented sufficient evidence that its trade secret information in the hands of its former employee and business competitor, Vivex Biologics, Inc. (“Vivex”), could constitute irreparable harm if Direct Biologics could present evidence Vivex and the former employee would likely use that information during the pendency of the lawsuit. The court’s opinion offers guidance for employers facing confidential data breaches and hiring employees from competing firms.

FTC Hosts Public Forum on Proposed Rule Banning Non-Compete Clauses

By Thomas Hubert, Joseph Lavigne and PJ Kee on March 14, 2023 Posted in Non-Compete

On February 16, the Federal Trade Commission (FTC) hosted a public forum to examine its proposed rule to ban non-compete agreements. Non-compete clauses serve to protect a business’s trade secrets and confidential information, which makes such a ban a concern for many businesses. The comment period for this proposed rule ends on April 19, so businesses should consider voicing their concerns during this time. This article summarizes the remarks made during the public forum by the FTC, a panel discussion, and comments from the public.

FTC To Host Virtual Public Forum

By Joseph Lavigne and Thomas Hubert on February 15, 2023 Posted in Non-Compete

As we recently reported, in January 2023, the Federal Trade Commission (FTC) announced a proposed nationwide ban on non-compete clauses. The proposed rule would restrict employers from enforcing all existing and future non-compete agreements with their employees.

The FTC announced that it will host a free and open public forum on Thursday, February 16, 2023, from 12 p.m. to 3 p.m. EST. This forum will examine the proposed rule and provide workers and business owners with an opportunity to ask questions, express concerns, and share their past experiences with non-competes.

Attendees may register to speak at the forum on the FTC’s website. Registration to speak is on a first come, first served basis. Details about the forum and registration may be found here.

Comment Period for FTC’s Proposed Ban on Non-Compete Agreements Ends March 20 — The Time to Act Is Now!

By Joseph Lavigne, Thomas Hubert and PJ Kee on February 2, 2023 Posted in Non-Compete

On January 5, 2023, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking essentially banning non-compete clauses and categorizing them as unfair methods of competition. Non-compete clauses serve to protect a business’s trade secrets and other confidential information, which makes the adoption of such a rule a major concern for all US businesses. Our previous article addressed the legal challenges the FTC will likely face in light of the proposed ban on non-compete agreements. The comment period for this proposed rule ends on March 20, and businesses should consider voicing their concerns before the deadline. This article summarizes some of the major ways that the rule could affect businesses, as well as what issues could be raised during the comment period.

Legal Challenges the FTC Faces in Light of Proposed Ban on Non-Compete Agreements

By Joseph Lavigne, Thomas Hubert and PJ Kee on January 26, 2023 Posted in Non-Compete

On January 5, 2023, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking essentially banning non-compete clauses and categorizing them as unfair methods of competition. Non-compete clauses serve to protect a business’s trade secrets and other confidential information, which makes the adoption of such a rule concerning for all US businesses. Our previous article addressed how the FTC’s proposed ban on non-compete agreements could affect your business. This article summarizes some of the legal challenges the proposed rule will likely face.

How the FTC’s Proposed Ban on Non-Compete Agreements Could Affect Your Business

By Joseph Lavigne, Thomas Hubert and PJ Kee on January 9, 2023 Posted in Non-Compete

On January 5, 2023 the Federal Trade Commission released a Notice of Proposed Rule that would essentially ban all non-compete agreements between employers and employees. If the proposed rule or a similar rule is adopted by the FTC, it would have a profound impact on all US businesses and particularly those businesses that utilize non-compete agreements to protect their trade secrets and confidential business information. This article provides a summary of the proposed rule and actions you can take to have your opinion heard regarding the likely impacts of the proposed rule on your business.