Epstein Becker: California Court Invalidates Non-compete Tied to the Sale of Goodwill | Practical Law

Epstein Becker: California Court Invalidates Non-compete Tied to the Sale of Goodwill | Practical Law

This Law Firm Publication by Epstein Becker & Green, P.C. discusses Fillpoint, LLC v. Maas, in which a California Court of Appeal held that an employee's non-compete agreement was void and unenforceable, even though it was entered into in connection with the sale of the goodwill of a business. The court explained that the non-compete in the employment agreement differed from the restrictive covenant in the stock purchase agreement, was not targeted to protect the company's goodwill and did not fall within the narrow exceptions to California's general prohibition against non-competes.

Epstein Becker: California Court Invalidates Non-compete Tied to the Sale of Goodwill

by Epstein Becker & Green, P.C.
Published on 31 Aug 2012California, United States
This Law Firm Publication by Epstein Becker & Green, P.C. discusses Fillpoint, LLC v. Maas, in which a California Court of Appeal held that an employee's non-compete agreement was void and unenforceable, even though it was entered into in connection with the sale of the goodwill of a business. The court explained that the non-compete in the employment agreement differed from the restrictive covenant in the stock purchase agreement, was not targeted to protect the company's goodwill and did not fall within the narrow exceptions to California's general prohibition against non-competes.