Trade Secrets & Restrictive Covenants
We help companies and their employees navigate the intricacies of employment matters.
Our size, close work with financial firms, and our sophistication make us a “go-to” shop for investment and commercial bankers, traders, and other financial industry participants. This is especially true given our experience in providing counsel and advice with respect to negotiating new employment terms, including garden leave and compensation provisions. From time to time, this also involves representation of entire groups leaving, or “spinning off” from, a financial firm and joining a new company, or forming their own entity.
For many of our clients on the employer side, protecting their key employees through employment agreements is critical, as are restrictive covenant agreements in protecting their business, trade secrets, and goodwill. This aspect of our practice starts with counseling clients about post-employment restrictions on employees, independent contractors, and consultants. We help our clients determine whether they can or should have restrictive covenants in place. We possess unique knowledge to craft agreements that are capable of withstanding legal challenges to enforcement posed by likely competitors and disloyal employees.
We work closely with clients to develop strategies to protect the assets, goodwill, and confidential information of clients who are concerned that a competitor is hiring, or is about to hire, the clients’ employees. We also consult with clients who are considering hiring employees from a competitor to minimize the risk.
We often prosecute and defend litigation involving recruitment and retention of employees, including claims of misappropriation of trade secrets, breach of fiduciary duty, breach of non-solicitation, non-competition restraints, and related claims. We have a notable record of success both in enforcing and defending against the enforcement of restrictive covenants. These actions frequently involve seeking emergency relief, including temporary restraining orders and preliminary injunctions, which is often crucial to an employer seeking to prevent the improper dissemination of confidential information and other forms of injurious competition.
Because of the firm’s close work with many financial institutions and brokerage firms, we often represent our clients in arbitrations and other alternative dispute proceedings to resolve employment disputes.