Pennsylvania Supreme Court Holds Uniform Written Obligations Act Does Not Allow Employer To Enforce Noncompete Unsupported By Consideration

In Socko v. Mid-Atlantic Systems of CPA, Inc. (No. J-40-2015), the Pennsylvania Supreme Court ruled on an issue of first impression: whether the state’s Uniform Written Obligations Act (“UWOA”) allows employers to enforce a noncompete given to an employee while already employed without providing consideration. On November 18, 2015, the high court affirmed a Pennsylvania Superior Court’s May 2014 decision, ruling that without valuable consideration, noncompetes are unenforceable.