There is an apparent shift in Texas regarding employees’ nonsolicitation covenants. A recent example is an opinion from Fort Worth’s Second Court of Appeals, which relied on Texas’ Covenant Not to Compete Act (the CNCA) to determine the enforceability of a former employee’s covenant to not solicit her former employer’s employees. That approach may come as a surprise to lawyers who thought simple breach of contract principles governed such covenants. In-house counsel should begin to think through that approach’s potential impact on their workforces.
Covenants not to solicit are related to covenants not to compete with a previous employer. Texas considers covenants not to compete to be disfavored restraints on trade.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
