Articles

Enforceability of Non-solicitation Clauses in Texas

August 22, 2016 / By Robert Wood
Articles // Non Solicitation Agreements in Texas

Are Non-solicitation Clauses Enforceable in Texas? The answer is, they can be, but, like noncompete agreements, they must comply with the statutory requirements against unlawful restraints on trade. Just like a noncompete provision (which keeps an employee from having a certain type of job), a non-solicitation provision (which keeps an employee from soliciting his former…

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How do Texas noncompete agreements affect independent contractors?

August 21, 2016 / By Robert Wood
Articles // Non Compete Agreements in Texas

Does the Texas noncompete statute apply to independent contractors as well as employees? Although there is not much case law on this, the answer is almost certainly yes. One case in particular out of the Fort Worth Court of Appeals dealt with a noncompete agreement dispute involving an independent contractor. Neither the company attempting to…

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When is a Texas Non-Disclosure Agreement Actually a Non-Compete?

June 28, 2016 / By Robert Wood
Articles // Nondisclosure Agreements

Many wars have been fought in Texas courts over the enforceability of non-compete agreements. But relatively few have been waged over the enforceability of non-disclosure agreements. The reasons for this are many, including the fact that Texas courts have routinely held that, unlike noncompete agreements, nondisclosure agreements do not restrain trade; hence, they are far…

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Vendor Lists as Trade Secrets in Texas

May 12, 2016 / By Robert Wood
Articles // Texas Uniform Trade Secrets Act

Many businesses have a list of vendors or suppliers they routinely use in the course of business.  This list of vendors is often compiled after years of effort and references the vendors that the business knows to sell high quality products at a good value.  Arguably, this information is a trade secret because it could only have been…

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Possible Tort Claim Not Sufficient Consideration for Noncompete in Texas

March 2, 2016 / By Robert Wood
Articles // Non Compete Agreements in Texas

In recent years, Texas courts have shown support for the employer’s use of non-compete agreements. The courts have done so by finding certain requirements of enforceability implied in non-compete agreements in some circumstances. Despite this trend, in June 2015, the federal appellate court that covers Texas ruled that a duty to keep information confidential cannot…

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Money for a Noncompete in Texas?

February 26, 2016 / By Robert Wood
Articles // Non Compete Agreements in Texas

A Texas appellate court recently addressed the question of whether money is sufficient to support a non-compete agreement.  The court ruled that money was not enough and that the non-compete’s purpose must be to protect a legitimate business interest. The contract at issue was for a company (“Company A”) to provide hospitalist services and to…

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