Legal Question in Business Law in Ohio

I have an employee that has been emailed his job assignments everyday containing customer information ie. phone #, address, pricing of each customers job, yet he won't sign a non-compete agreement. We now believe he is going to use this info to try to obtain these customers for himself this spring.

Are the company emails he has been receiving considered intellectual property? Since he will not sign the agreement can "go after" him another way?


Asked on 1/12/10, 9:03 am

1 Answer from Attorneys

Vaseem Hadi Rendigs, Fry, Kiely & Dennis LLP

The information your employee has been given access to is sensitive and proprietary in nature; customer/client lists in certain professions are considered a trade secret. So, a non-compete clause isn't necessary to protect the information. Generally, a non-compete clause restricts the employee from working at a new job nearby you. However, it does not prevent the employee from working somewhere outside the restricted area identified in the agreement. There is also a fine line between protecting customer lists, and information generally available in the public domain. If the employee built a relationship with a particular client, there really isn't anything you can do to end that friendship once the emplyee leaves, or to prevent the customer from doing business with someone else. But, a non-compete agreement is helpful if the client resides exclusively within the area stated in the agreement, and there's no downside to having one. Then, during the duration of the agreement, the relationship between any clients and the employee may fizzle, assuming they are not working together and not regularly communicating. There are ways to motivate emlpoyees to sign such agreements. I am in the office all day today. Please contact me to discuss.

Vaseem S. Hadi

513-381-9216 (direct)

www.rendigs.com

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Answered on 1/18/10, 6:36 am


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