Non Compete Agreement Virginia Maryland Lawyers Attorneys
Non-Compete Law in Virginia and Maryland
Non-compete agreements are often contained in an employment agreement or independent contractor agreement, but may also be executed as a separate document. Non-compete agreements are intended to ensure that during the term of employment or for a period thereafter, an employee or former employee will not directly compete with his or her employer. The non-compete agreement often contains provisions intended to prevent former employees from using proprietary information obtained during the employment relationship to appropriate their former employer’s customers at the expense of their former employer. Most non-compete agreements specify a period during which the former employee is expected to refrain from engaging in activities that will place him or her in direct competition with a former employer. Not all provisions contained in non-compete agreements are lawful – the validity of each provision is determined by state law.
Many employment or business relationships require that one of the parties agree not to compete with the other in a certain territory or for a certain time. The courts of law will sometimes uphold such agreements, and sometimes not. Advice from a qualified Virginia or Maryland non compete attorney is essential in this area. If you require assistance with a covenant not to compete or a non-compete agreement, either in negotiating or drafting such an agreement or in litigating such a dispute in Virginia or Maryland, the non compete attorneys of the SRIS Law Group, P.C. will bring their understanding of competition law to bear in aggressively assisting you with your case.
FACTS:
A corporation filed its amended motion for judgment against a doctor, alleging that the doctor, the corporation’s former employee, breached a covenant not to compete. After the Circuit Court of Campbell County (Virginia) denied the doctor’s motion to dismiss, and following a bench trial, a judgment was entered in favor of the corporation. The doctor appealed. He asserted that the former corporation cannot “engage in the practice of medicine” in Virginia because it does not have a license to practice medicine in this Commonwealth. As a consequence, he contends that the former corporation does not have a legitimate business interest in enforcing the covenant not to compete.
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FACTS:
The former employee went to work for a competitor. Sometime during his employment with the employer, the employer presented a confidentiality and covenant not to compete agreement, which prohibited the former employee from working for a competing business within a 75-mile radius of the employer’s principal place of business for one year after leaving, subject to a liquidated damages provision of $ 50,000 in the event of a breach. The employer paid $ 50 to the former employee for signing the agreement. After a bench trial, the trial court awarded the employer nominal damages of one dollar, rejecting the employer’s argument that it was entitled to liquidated damages pursuant to the terms of agreement. Appellant employer challenged the judgment of the Circuit Court for Montgomery County (Maryland) in favor of appellee, a former employee. The employer had filed a breach of contract action against the former employee, seeking to recover liquidated damages based upon the terms of an employment contract.
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Arbitration Virginia Maryland Mediation Alternative Dispute Resolution
Arbitration in Virginia and Maryland
Arbitration is a procedure in which a dispute is submitted, by agreement of the parties, to one or more arbitrators who make a binding decision on the dispute. In choosing arbitration, the parties opt for a private resolution procedure instead of choosing the public court system. An existing dispute can be referred to arbitration by agreement of the parties. Once arbitration is commenced, a party cannot unilaterally withdraw from arbitration.
Mediation, by contrast, is a voluntary process in which two or more parties involved in a dispute work with an impartial party, the mediator, to generate their own solutions in settling their conflict. Unlike a judge or an arbitrator whose decisions may subject one party to win and the other party to lose, mediation is about finding a solution that works for both parties. Mediation is essentially facilitated negotiation.
Alternative Dispute Resolution (ADR), whether Arbitration or Mediation, is an ever-expanding reality in business and other civil disputes. Many contracts require Arbitration instead of litigation in the courts. Some contracts require Mediation before a party can initiate suit for breach.
Arbitration and Mediation require a detailed knowledge of the law applicable to a given case, knowledge of ADR procedures, as well as experience in litigation and negotiation. Based on their years of experience in Arbitration and Mediation, the Virginia & Maryland attorneys at the SRIS Law Group, P.C. will represent your interests with determination and professionalism.
VIRGINIA AND MARYLAND CODE FOR ARBITRATION AND MEDIATION
Va. Code Ann. § 8.01-581.02 Proceedings to compel or stay arbitration
A. On application of a party showing an agreement described in § 8.01-581.01, and the opposing party’s refusal to arbitrate, the court shall order the parties to proceed with arbitration. However, if the opposing party denies the existence of the agreement to arbitrate, the court shall proceed summarily to the determination of the issue of the existence of an agreement and shall order arbitration only if found for the moving party.
B. On application, the court may stay an arbitration proceeding commenced or threatened on a showing that there is no agreement to arbitrate. Such an issue, when in substantial and bona fide dispute, shall be forthwith and summarily tried and the stay ordered if found for the moving party. If found for the opposing party, the court shall order the parties to proceed to arbitration
C. If an issue referable to arbitration under the alleged agreement is involved in an action or proceeding pending in a court having jurisdiction to hear applications under subsection A of this section, the application shall be made therein. Otherwise, subject to § 8.01-581.015, the application may be made in any court of competent jurisdiction.
D. Any action or proceeding involving an issue subject to arbitration shall be stayed if an order for arbitration or an application therefor has been made under this section. However, if the issue is severable, the stay may be with respect thereto only. When the application is made in such action or proceeding, the order for arbitration shall include the stay.
E. An order for arbitration shall not be refused on the ground that the claim in issue lacks merit or bona fides or because any fault or grounds for the claim sought to be arbitrated have not been shown.
Md. COURTS AND JUDICIAL PROCEEDINGS Code Ann. § 3-206 Validity of arbitration agreements; agreements between employers and employees
(a) Validity. — Except as otherwise provided in this subtitle, a written agreement to submit any existing controversy to arbitration or a provision in a written contract to submit to arbitration any controversy arising between the parties in the future is valid and enforceable, and is irrevocable, except upon grounds that exist at law or in equity for the revocation of a contract.
(b) Agreement between employers and employees. — This subtitle does not apply to an arbitration agreement between employers and employees or between their respective representatives unless it is expressly provided in the agreement that this subtitle shall apply.
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