Payscale Urges Delaware Justices to Allow Broad Noncompetes (1)

Payscale Inc. asked Delaware’s highest court to allow broadly worded noncompete agreements, arguing that specifically limiting where business activities or customers were off-limits for ex-employees would force companies to “constantly” revise those contracts.

It’s more reasonable to use language that simply states, “whatever the business was when you left, that’s what you can’t do,” said Steven Caponi of K&L Gates LLP on behalf of Payscale, arguing to reverse a lower court’s finding that noncompete provisions in agreements signed by its former director of sales were “unreasonably vague.”

The Delaware Chancery Court’s dismissal of Payscale’s claims is “emblematic” of the proper ...