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Litigation: Restrictive Covenants
NJ Restrictive Covenant Litigation Attorneys
Our NJ litigation attorneys represent plaintiffs and defendants in disputes over the enforcement of restrictive employment covenants, non-compete agreements, unauthorized disclosure of trade secrets by employees, and restrictive covenants contained in deeds and other land documents.
If there has been a misappropriation of proprietary or confidential information, or an employee has accepted employment in violation of a restrictive covenant contained in an employment contract, time is of the essence. Our New Jersey attorneys will work closely with your company to develop evidence and, when necessary, pursue litigation to recover damages and enforce existing restrictive covenants and other agreements.
Likewise, our litigation law firm defends clients who, upon hiring an employee from a competing organization, may be sued for breach of contract or misappropriation of trade secrets. Our attorneys handle these types of disputes in the Superior Court of New Jersey.
Under New Jersey law, a plaintiff seeking to enforce a restrictive covenant must establish that the covenant is reasonable. Reasonableness is proven by demonstrating that the covenant “simply protects the legitimate interests of the employer, imposes no undue hardship on the employee and is not injurious to the public.” In cases where the employer’s interests do not rise to the level of a proprietary interest deserving of judicial protection, a court will conclude that a restrictive agreement merely stifles competition and therefore is unenforceable. The third prong requires the reviewing court to consider matters of public concern, such as the interest in “safeguarding fair commercial practices,” protecting against the misuse of employer proprietary information, and “encouraging technological improvement and design enhancement of all goods in the marketplace.”
In certain instances, courts can shorten the term of a restrictive covenant. Usually, restrictive covenant litigation is commenced on an order to show cause basis requesting a preliminary injunction to prevent the person from continuing to violate the covenant. Our attorneys have experience in handling restrictive covenant litigation in New Jersey.
In one such case, we successfully enforced a non-compete agreement against our client’s former President who was embezzling from the company and receiving illegal kickbacks from vendors. McAlpine, et al. vs. Mountain Accessories, Inc., et al., Superior Court of New Jersey, Chancery Division, Bergen County, Docket No.: C-320-09. Click here to read the Amended Complaint that we filed in this shareholder derivative action. Ultimately, the case resulted in the entry of a preliminary injunction enforcing a restrictive employment covenant against the company’s ex-president, his criminal conviction, a judgment for restitution, and a settlement which required the ex-president to forfeit his shares in the company.
Restrictive Covenants NJ Employment Lawyer
Need assistance in a New Jersey business litigation dispute involving enforcement or defense of a restrictive covenant or non-compete agreement? Contact our NJ restrictive covenant litigation attorneys today. On of our lawyers will respond to your inquiry within 24-48 hours. If your matter is urgent, please contact us at (201) 498-0400.
Serving Northern, Central and Southern New Jersey including Bergen County, Essex County, Hudson County, Mercer County, Middlesex County, Morris County, Passaic County, Somerset County, Union County, and elsewhere in the Garden State.