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Medix Staffing Solutions, Inc. v. Dumrauf (N.D. Ill. Apr. 17, 2018)

Articles Discussing Case:

Non-Compete News: Is Your Non-Compete Clause Too Broad? An Illinois Court Offers Guidance

FordHarrison LLP • April 24, 2018
Executive Summary: When drafting restrictive covenants, employers face a common dilemma about the scope of activities to be restrained. On the one hand, highly focused non-compete language tends to be more enforceable but might not protect the company’s legitimate business interests. On the other, a one-size-fits-all blanket prohibition is more comprehensive but runs the risk it will be unreasonably broad and unenforceable. A recent decision by a federal court in Illinois, Medix Staffing Solutions, Inc. v. Dumrauf (N.D. Ill. Apr. 17, 2018), draws a bright line regarding when a non-compete clause is overbroad as a matter of law. Notably, the court rejected language used frequently in non-compete covenants throughout the country, finding the language so all-encompassing as to be entirely unreasonable.