Articles

Nurse Practitioner Non-Compete Deemed Invalid and Unenforceable

In 2006, Ameanthea Blanco joined Patient First Richmond Medical Group (“Patient First”) as a Family Nurse Practitioner. She was responsible for screening patients in an primary and urgent care setting. As a condition of employment, she signed a non-compete contract. In 2010, while working for Patient First, Ms. Blanco formed Acira Health Professional, Inc., d/b/a The Practice, and solicited two physician co-workers at Patient First to

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Drug Company Sues Scientist for Violating Non-Disclosure Contract

In 2001, Travis Mickle joined Lotus Biochemical as a senior research scientist. He signed an employment contract that contained a non-disclosure provision, which stated: All Discoveries are the exclusive property of the Company, and Employee will promptly and fully disclose them to the Company. As used herein, the term “Discoveries” means all discoveries, inventions, improvements, processes, ideas and names in any form, whether

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Veterinarian Non-Compete Held Unenforceable in Virginia

In Farm Veterinary Servs. v. Novak, 61 Va. Cir. 584 (2001), a group of veterinarians had non-compete contracts with their employer. The veterinarians resigned and began competing with their former employer. The employer sued for breach of contract. The judge held that the non-compete was overbroad, unreasonable, and unenforceable as a matter of law, and dismissed the lawsuit. The veterinarians’ non-compete contract imposed a $30,000 penalty if the veterinarians

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Court: Injunction Denied in Statewide Non-Compete

Case: Wings, LLC v. Capitol Leather, LLC, 88 Va. Cir. 83 (Fairfax 2014) Wings, LLC, a company in Gainesville, Virginia, provides vinyl, fabric, and leather repair services. Most of their customers are auto dealerships and collision centers that hire Wings to repair car interiors. Wings employed technicians to service customers in defined geographic territories. Wings has customers in the metropolitan Washington, D.C., area, including Northern

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Does Virginia allow non-compete restrictions close to any of the company’s offices?

Imagine working for a large, national company. You are based in Richmond. The company has offices in Chicago, Dallas, and Los Angeles. You resign to join a competitor in Orange County, California. Not a problem, right? After all, you are moving nearly 2,000 miles away for your new job. What if your non-compete says, “Employee will not perform competitive services within one hundred (100) miles of any of the

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Is a worldwide ban on soliciting former clients valid in Virginia?

Many non-solicitation contracts will state, “Employee will not, directly or indirectly, solicit competitive services from the customers of Employer for a period of two (2) years.” Read literally: the employee cannot solicit former clients anywhere throughout the world. Is a worldwide ban on solicitation enforceable? A worldwide ban is enforceable in certain, limited situations. Non-solicitation provisions must be “narrowly drawn to protect the employer’s legitimate business interest,”

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Is my non-compete invalid because Virginia is a right-to-work state?

It is a common misconception that Virginia being a “right-to-work state” invalidates non-compete agreements. A Virginia court, however, will not strike down an otherwise enforceable, valid non-compete contract merely because Virginia has right-to-work laws. Right-to-work laws allow employees to work for an employer without having to join or pay dues to a labor union. In other words, Virginia is an “open shop” state.

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Sale of Business Agreement’s Non-Compete Not Upheld by Virginia Supreme Court

In Parr v. Alderwoods Group, Inc., 268 Va. 461 (2004), a family sold its funeral home business to a holding company. The holding company signed a lease for the funeral home property, and the family signed a non-compete that prohibited them from opening a competing funeral home after the sale of the business. After the sale closed, the holding company began making regular lease payments. Several years into the lease, the

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