Want to stop unfair competition from former employees? Have them acknowledge that customer lists that they may have access to are considered trade secrets and that they can’t solicit customers from those lists after leaving.
Recent case: Two former employees of Wanke, a construction company, had signed confidentiality agreements as a condition of their employment. They left Wanke and formed their own competing company.
Wanke sued, seeking to stop them from using customer lists to market their company.
The court agreed with Wanke that the lists were trade secrets and that the employees had promised to keep the lists secret. (Wanke Industrial Commercial Residential, Inc. v. Superior Court, No. 4711888, Court of Appeal of California, 4th Appellate District, 2012)
- How to Fire an Employee the Legal Way: 6 Termination Guidelines
- EEOC finds fault with 'no-fault' attendance policies
- 'Aiding and abetting' discrimination can include giving false reasons for discharge
- Can we ask current employees to sign noncompete agreements?
- If employee loses workers' comp appeal, don't be shy about asking him to pay legal fees