The Ninth Circuit recently filed its latest installment in the saga involving David Nosal and his former employer, Korn/Ferry International, an executive search firm. Korn/Ferry maintains a proprietary database of executive candidates for its paying customers. Nosal, a former Korn/Ferry executive, set up a competing business. Allegedly desiring the information in Korn/Ferry’s database for his
9th Circuit: Claims proceed in California despite French forum selection clause
A federal appeals court has held a forum selection clause in a non-disclosure agreement does not cover trade secret misappropriation and related claims that are not based on the agreement. In re Orange, S.A. v. United States District Court, 2016 U.S. Ap. LEXIS 648 (9th Cir. 2016). Telesocial is a San Francisco start-up, formed
California Court of Appeal Holds Employee’s Agreement to Reimburse Training Costs in Event of Resignation Does Not Offend Public Policy
A California court recently upheld an employer’s right to condition free training on continued employmentin the matter of USS-POSCO Industries v. Case, No. A140457 (Jan. 26, 2016). The defendant/appellant in the litigation, USS POSCO Industries (“UPI”) had originally hired Case as an entry-level Laborer and Side Trim Operator. UPI faced a shortage of skilled
Recent Cases Recognize Limits to Employees’ Attempts at Self-Help to Support Retaliation Claims
Two recent cases from opposite coasts confirm that employees do not have an unfettered right to steal their employer’s documents notwithstanding the documents’ potential relevance to a whistleblower retaliation claim.
In West Hills Research and Development Inc. v. Wyles, Cal. Ct. App. 2d Dist. Case No. B255768 (July 17, 2015), when West Hills terminated
Cases are easier to start than they are to finish: California Court awards $180,000 in sanctions for meritless trade secret misappropriation lawsuit brought in bad faith
The California Court of Appeal has upheld an award of monetary sanctions against a company that brought a lawsuit against its competitor that the court found was meritless and intended to stifle competition. Cypress Semiconductor Corp. v. Maxim Integrated Products, Inc., H038555 (Apr. 28, 2015). Cypress sued Maxim for trade secret misappropriation, alleging Maxim
Washington Forum Selection Clause Enforced by California Court in Non-Compete Action
A California federal court recently dismissed a lawsuit seeking a declaration that a non-compete agreement is unenforceable under California law, upholding the parties’ Washington forum selection clause. Meras Engineering, Inc. v. CH20, Inc., No. C-11-0389 EMC (N.D. Cal. Jan. 14, 2013). CH20 is a Washington corporation with its principal place of business in Washington.
Unfair Competition Claim Based on Copyright Infringement Preempted by Copyright Act
A federal court in California has held that a state law claim that a competitor engaged in unfair competition by creating infringing work after hiring former employees who stole proprietary information is preempted by the federal Copyright Act. Metabyte, Inc. v. NVidia Corp., et al., Case No. 12-0044 SC (N.D. Cal. April 22, 2013.
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