New York is known for having many protections for its employees in the workplace, but a long-standing legal doctrine can furnish a remedy to employers with regard to employees who engage in repeated acts of disloyalty during their employment. The “faithless servant doctrine” permits an employer to “claw back” an employee’s compensation when an employee is found to be disloyal to the employer. While the doctrine may seem antiquated, it continues to have vitality. For example, in March 2018, a New York appellate court confirmed an arbitration award that directed, based on ...
Political winds disfavoring non-compete agreements for low wage and rank-and-file workers continue to blow, and appear to be picking up speed.
On October 25, 2016, the White House took the unusual step of issuing a “Call to Action” to states regarding non-compete agreements, as part of the President’s initiative to stoke competition across the economy. Calling non-competes an “institutional factor that has the potential to hold back wages and entrepreneurship,” the Call to Action seeks to reduce the misuse of non-compete agreements nationwide.
President Obama ...
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Recent Updates
- Pennsylvania Plaintiff That Failed in Effort To Block FTC Noncompete Ban Drops Lawsuit
- NLRB Opens New Front in Campaign Against Contractual Restrictive Covenants, Now Targeting No-Poach Provisions in a Business’ Company-to-Company Agreements
- Spilling Secrets Podcast: After the Block - What’s Next for Employers and Non-Competes?
- Georgia Supreme Court Allows for Employee Non-Solicitation Agreements That Lack Express Geographic Limits
- Continued Employment May Constitute Sufficient Consideration for Noncompete Agreements in Connecticut, but Uncertainty Remains