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Moving to a rival company can lead to non-compete disputes

Posted by William J. Cook | Aug 10, 2017 | 0 Comments

Many individuals have reached a point where they feel a change in employment is necessary. For some, this could be as simple as putting in an application for a new job, and turning in a notice at the previous one. However, certain professions require individuals in Florida and elsewhere to sign a contract, and if he or she attempts to work for a rival company within a given period, intense non-compete disputes may arise.

A former chief information officer at IBM recently decided to take his talents to Amazon Web Services (AWS), which is apparently a rival company in the technological area. Claiming a breach of contract occurred, IBM filed a lawsuit in an attempt to prevent the man from transitioning into his new position. The company asserts that he is privy to certain trade secrets, and filed the claim to protect them from being provided to a rival.

In the lawsuit, they also allege that he had already shared sensitive information with AWS while still employed at IBM. The company also claims that the terms of his contract state that he should be prevented from working a rival company for up to nine months. While he was initially barred from starting his new position, a judge recently modified a restraining order to allow him to show up for training. Reportedly, AWS has yet to make a statement in relation to the lawsuit.

Non-compete disputes can be challenging issues, especially with the complexity of modern day business contracts. When facing similar concerns, seeking guidance from someone who is knowledgeable in such intricate matters could prove beneficial. An attorney in Florida can evaluate the circumstances surrounding the dispute, along with the contract, and advise a client on the best course of action with which to proceed.

Source: crn.com, “IBM Sues To Stop Former CIO From Taking Leadership Position At AWS“, Joseph Tsidulko, Aug. 7, 2017

About the Author

William J. Cook

William J. Cook represents clients in matters involving business litigation and commercial and employment disputes, securities litigation, business transactions and counseling, and insurance. Mr. Cook's peers have awarded him with the highest possible rating of AV-Preeminent* by Martindale-Hubbell, which speak...

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