Total Articles: 5
New York Clarifies Scope of Covenant Against Business Seller’s Solicitation of Former Clients
New York’s highest court has ruled that a business seller may solicit and regain former clients for his new employer without incurring liability for improperly soliciting business under certain circumstances. Bessemer Trust Co., N.A. v. Branin, No. 63, 2011 NY Slip Op. 3307, 2011 N.Y. LEXIS 602 (Apr. 28, 2011).
Court in New York Says No Trade Secret Protection for Outdated Information Available on Internet
Outdated information on a financial services industry recruiter’s database is not protectable as a trade secret where the company did not take adequate safeguards to protect the information and the information was available on the Internet, a federal district court in New York has ruled. Sasqua Group, Inc. v. Courtney, 09-cv-528 (ADS)(ETB), 2010 U.S. Dist. LEXIS 93442 (E.D.N.Y. Aug. 2, 2010) (report and recommendation), adopted, 2010 U.S. LEXIS 98621 (E.D.N.Y. Sept. 7, 2010). U.S. District Court Judge Arthur D. Spatt adopted, in its entirety, the report and recommendation of Magistrate Judge A. Kathleen Tomlinson.
New York City Employers Are Subject to Strict Liability for Supervisors’ Unlawful Discriminatory Conduct, Court Rules
New York City employers cannot rely on the affirmative defense, available under federal and state law for claims of sexual harassment and retaliation by a supervisor, which shields employers from liability when the employer exercises reasonable care to prevent and correct any discriminatory action and when the employee fails to take advantage of established complaint procedures. The New York Court of Appeals held on May 6, 2010, in Zakrzewska v. The New School, No. 09-0611-CV, 2010 WL 1791091 (May 6, 2010), that the New York City Human Rights Law (“NYCHRL”) imposes strict liability on an employer for unlawful discriminatory practices engaged in by an employee or agent who exercises managerial or supervisory responsibility.
New York Governor Signs Broadcast Employees Freedom to Work Act.
On August 6, 2008, Governor Paterson signed the Broadcast Employees Freedom to Work Act into law, effective immediately, which bans broadcasting industry employers from conditioning employment of non-management broadcast employees on the signing of post-employment non-compete agreements. Any broadcasting industry employer who violates this law may be civilly liable to the broadcast employee for damages, attorneys’ fees, and costs.
NY's Highest Ct. Applies Federal "Constructive Discharge" Test to State's "Employee Choice" Doctrine (pdf).
New York has made it more difficult for employees looking to break their non-compete agreements.
