Daily Labor Report®

Case: Individual Employment Rights/Noncompete Agreements (Mass.)

Jan. 14, 2020, 10:39 PM

A trial court abused its discretion when it extended for an extra year the duration of an anti-raiding restrictive covenant entered into by Prime Motor Group and a former executive and minority shareholder of the automotive dealership group. The former executive had solicited and hired several employees from Prime, in breach of the contract. The disputed restrictive covenant came up in the sale of the executive’s minority interest in the business, rather than in the employment context, and the covenant prohibiting him from targeting and hiring away its key employees was necessary to protect the auto dealership group’s legitimate business...

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