A fiduciary relationship exists “where confidence is reposed as a result of the position of superiority and influence held by the fiduciary” under Florida law. Argonaut Development Group, Inc. v. SWH Funding Corp., 150 F. Supp. 2d 1357 (S.D. Fla. 2001). The relationship is generally founded on trust. Capital Bank v. MVB, Inc., 644 So.…
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Florida statute § 542.335 allows one to enforce a contract “that restrict[s] or prohibit[s] competition during or after the term of restrictive covenants, so long as such [a] contract[ is] reasonable in time, area, and line of business.” Fla. Stat. § 542.335. The plain language of the statute suggests restrictive covenants cannot be enforced when…
Continue reading ›Maintaining a lawsuit in federal court is not always easy because the court must ensure it has subject matter jurisdiction over each claim at every stage of the litigation. A court can dismiss a lawsuit at any time if subject matter jurisdiction is not present. Even at the appellate stage after trial is concluded. Molinos…
Continue reading ›Establishing the existence of a trade secret requires the plaintiff to prove it owns information that derives independent economic value from not being generally known to other persons, is not readily ascertainable by proper means by other persons, and is the subject of reasonable efforts under the circumstances to maintain the trade secret’s secrecy. Fla.…
Continue reading ›You may recall last week we discussed Florida’s Choice Act and the changes it may create to the non-compete landscape in Florida. The Choice Act establishes significantly more stringent non-compete restrictions on employees and independent contractors earning, or are reasonably expected to earn, a salary greater than twice the annual mean wage of the Florida…
Continue reading ›A common business dispute involves two business partners who disagree about the ownership split of the business. This dispute often arises from poor documentation, which can lead to protracted and expensive litigation. Ownership rights often turn on simple contract principles like offer, acceptance, and consideration. Jacob v. Bernatek, 764 So. 2d 874 (Fla. 4th DCA…
Continue reading ›Florida law on noncompete agreements will likely change on July 1, 2025, under the “Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth Act” (CHOICE Act). The CHOICE Act will substantially enhance an employers’ ability to restrict certain employees from competing after their employment with the employer ends. The Fort Lauderdale business litigation attorneys of the…
Continue reading ›American law recognizes that the protection of trade secrets results in substantial benefits to businesses and society. Kewanee Oil Co. v. Bicron Corp., 416 U.S. 470 (1974). Protecting commercial entities trade secret theft encourages investment in processes and technologies benefiting consumers. Therefore, trade secret laws promote “the efficient operation of industry” by affording those who…
Continue reading ›Florida law recognizes the defense of accord and satisfaction in contract disputes. The defense applies when contracting parties agree to resolve their dispute by accepting performance of an obligation that differs from the original obligation required under the contract. Jacksonville Elec. Authority v. Draper’s Egg & Poultry Co., 557 So. 2d 1357 (Fla. 1990) (“An…
Continue reading ›Florida’s general rule prohibits contracts impeding commerce. Fla. Stat. § 542.18. (“Every contract, combination, or conspiracy in restraint of trade or commerce in this state is unlawful.”). However, Florida’s legislature passed house bill 611 and 375 in the mid-1990’s to create an exception for restrictive covenants like non-compete agreements, non-solicitation agreements, and confidentiality agreements under…
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