Tomorrow, I have the privilege of speaking to the Executive Search Owners Association. Over the years I have had the privilege of representing placement professionals in a number of circumstances. Some tips:

  1. Make sure your engagement agreements/contracts make sense and are enforceable;
  2. Remember that non-competes and non-solicitation agreements in Texas can be enforceable;
  3. Screen

No one likes exit interviews, well most folks don’t.  The employee is departing  the interviewer is checking off the boxes.  But, from the employer’s perspective they can be invaluable if handled correctly and I recommend them. Some considerations:

  1. Who handles the interview?  It doesn’t always have to be someone from HR.  If the departure is

As the New Year begins a couple of things to consider:

  1. Is the company employee manual up to date – any changes necessary? – The beginning of the year is always a good time to review those policies and procedures and see how they worked in 2019. Often the year will show some deficiencies or

Last week, Google said it was no longer going to enforce its anti-poaching provision that includes in its employment contracts.  I don’t see them going anywhere as it relates to Texas employers/employees.

Under Texas law, an anti-poaching provision has to satisfy the Texas non-compete statute meaning it has to be ancillary to an otherwise

At the outset of most employment relationships, the employer will have an employee sign a litany of documents ranging from a IRS form W4 to a non-compete agreement.  Buried within those documents is usually some form of a confidentiality agreement.  Within the agreement the employee agrees not to share any of the employer’s confidential information while an employee and after they depart.  Sometimes the agreement is referred to as a non-disclosure agreement or NDA.  Here is an example of a clause from such an agreement:

Continue Reading Loose Lips Sink Ships

I recently finished a hard fought non-compete case that settled the day before trial.  Unlike most non-compete cases that resolve themselves early on during the temporary injunction fight, this non-compete contained a liquidated damages provision that specified the damage number in the event of a non-compete breach.  The terms of the non-compete prevented the employer from seeking injunctive relief – the only remedy was the liquidated damages clause. The trial court ruled the non-compete was enforceable and the amount of the liquidated damages provision was never challenged.  Even with those rulings/facts the case dragged on to the point of trial.


Continue Reading Latest Texas Non-Compete Lessons

Non-compete cases that are well lawyered should be resolved early in the litigation process.  Why do I say that?  If the plaintiff is an aggressive former employer it will in most instances move for a temporary restraining order followed by an application for a temporary injunction in Texas state court.  In that process a lot of things can happen.  First, the parties will have appeared before a judge and gotten a flavor for how the judge will rule and what the judge thinks of each parties’ claims and defenses.  Second, there may be expedited discovery including document productions and depositions.  The judge may even order the case to mediation to avoid having to spend court time on a temporary injunction hearing – which is like a mini-trial.


Continue Reading Getting Out of the Way of A Settlement

The purpose of the performance improvement plan or “PIP” is to give an employee the opportunity to make certain changes in their work performance so as to merit ongoing employment.  Put another way satisfy the PIP and you keep your job. Of course, there are all sorts of statements in the PIP (or there should

The usual gamut of post-employment covenants includes non-compete restrictions, non-solicitation of customer restrictions, confidentiality restrictions, and in many cases the anti-raid provision designed to keep a departing employee from hiring away a former employer’s employees and contractors.  The anti-raid is not always given a lot of thought, but it should be.  Why?  Because when