Franchisors will often include non-compete provisions in their Franchise Agreements to protect their ability to sell new franchises in a geographic region that was formerly served by a terminated franchisee. A party seeking to enforce a non-compete agreement must plead and prove the existence of one or more legitimate business interests justifying the non-compete covenant…
Continue reading ›Tortious interference is the intentional and unjustified interference with a relationship or contract that results in damages. However, tortious interference does not occur every time a contract or business relationship is consequentially affected. Direct interference is a necessary element of the tort (a wrongful act or an infringement of a right). Peter Mavrick is a…
Continue reading ›The Florida Uniform Trade Secrets Act (“FUTSA”) requires courts to take reasonable steps to preserve the secrecy of trade secrets. Fla. Stat. § 688.006. Injunctive relief may be ordered to preserve trade secrets based on actual or threatened misappropriation, as well as, compelling parties to perform specific acts. Fla. Stat. § 688.003. FUTSA, however, may…
Continue reading ›An undefined term in a non-compete agreement creates an ambiguity in the contract, and therefore uncertainty in a court’s interpretation of the term. When a term is left undefined, Florida law requires courts to give the term its ordinary meaning. Although the terms “compete” and “line of business” may seem self-explanatory, the context in which…
Continue reading ›For a business to be to protect its confidential information as a protectable trade secrets under the Florida Uniform Trade Secret Act, the business must preserve the secrecy of its confidential information. There are no hard and fast rules that must be followed for a business to protect its confidential information as a trade secret.…
Continue reading ›It is common in lawsuits regarding non-compete agreements for plaintiffs to sue the new enterprise started by the former employee or the company that hires the former employee, i.e. a third party. Plaintiffs seek to enjoin these third parties from aiding and abetting the violation of the non-compete, as well as, hold them liable for…
Continue reading ›Section 542.335(1)(d), Florida Statutes, states that a non-compete agreement, in an employment context that exceeds two years is subject to a legal presumption that the non-compete period is unreasonable. An employer may overcome this legal presumption in variety of ways. If the court finds that a longer non-compete period is necessary to protect a legitimate…
Continue reading ›It is not uncommon for parties in a business relationship, such as partners, franchisors and franchisees, and employers and employees, to discover that they cannot agree on their rights with respect to each other. Sometimes contracts are ambiguous, or the parties never determined how they would address a particular problem that later arises. Florida law…
Continue reading ›A business can seek an injunction to enforce a non-compete agreement before a lawsuit is completed if the business is suffering losses due to the violation of a non-compete agreement. There are different legal standards for issuance of a temporary injunction, depending on whether the lawsuit and motion occur in federal or state court. The…
Continue reading ›An employee’s reasonable belief that a particular territory is outside of the scope of a non-compete clause does not necessarily grant him/her license to work for a competitor in violation of the employment agreement. Peter Mavrick is a Miami non-compete lawyer who has extensive experience in representing the interests of businesses and business owners. In…
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