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You retired from the military and finally landed your dream job after several months of searching. Now your current employer demands you pay them $25,000 just to leave. If this situation sounds familiar, you are not alone.
If you're a veteran or reservist servicemember accused of violating your employment agreement (or worse), you need representation from a firm comprised of veterans representing other veterans across the country with experience around the globe.
As the economy continues to shift towards a globalized commercial market, one issue beginning to gain traction in employment circles concerns employees (including veterans) impacted by mobility and restrictions in the workplace, especially for executive level hires or departures.
While employers have long-valued their intellectual property and proprietary interests, the advent of social media and work-from-home opportunities recently caused many employers to consider increasingly aggressive methods to protect information. Among these measures are the use of non-competes, non-disclosures or an agreement to otherwise restrict the behavior of an employee after departure. The restrictions often limit important information that a veteran's employee may bring to a subsequent employer such as customer lists, business strategies, or processes. Federal employees are also subject to criminal conflicts-of-interest laws governed by 18 U.S.C. § 207. Section 207 and other regulations adopted by the Office of Government Ethics.
Given the proprietary nature of the protected information, companies are often eager to enforce these agreements not only to defend trade secrets but also to send a message to other employees. Common enforcement actions are motions seeking injunctive relief, arbitration, or even litigation under specific statutes such as the Defend Trade Secrets Act and state versions of the Uniform Trade Secrets Act.
2024 Final Rule
In response, the Federal Trade Commission's issued its April 2024 Final Rule attempting to ban new noncompete agreements. The rule is currently under judicial review and unenforceable, but the agency's intent to reform this practice is clear and should be seen as a positive sign for the future.
While federal Circuits and state laws do vary concerning the enforcement provisions, the issue is currently trending towards legislative efforts to limit or ban non-compete agreements, particularly in specialized sectors like health care. As the cases continue to evolve, Tully Rinckey, a nationwide law firm, monitors new case decisions across the country aimed at preventing employers from requiring repayment of certain debts as a condition of leaving employment.
Hire a Trusted Attorney
If you are a highly compensated veteran corporate executive accused of a trade secret violation; you need to prepare for an aggressive defense. If you are terminated from your role unfairly and deprived out of stock options and other earned benefits; you should not forfeit the value of such hard fought for gains. If you are a veteran, you don't want an attorney who doesn't understand military customs, life experiences and shared values. You need an attorney who speaks your language, has lived life like you did in uniform and one who is willing to fight the grueling battles necessary to secure a just outcome on your behalf. Whether it's defending you in an employee mobility tortious interference claim from your former employer or perusing justice on your behalf based on your veteran's status; if you are one of the nation's 18 million veterans; you should have a fellow veteran as your legal counsel!
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.