Practice point: Defendants moved for partial summary judgment as to the unenforceability of nonsolicitation agreements as overbroad. While, by their terms, the agreements were to be governed by and construed in accordance with
Delaware law, the parties differed as to whether New York law
or Delaware law should be applied.
There is no actual conflict unless each jurisdiction's laws provide different substantive rules that are relevant to the issue at hand and have a significant possible effect on the trial's outcome.
Here, as the parties' briefs disclosed no such conflict, the Appellate Division applied the law of New York as the forum state.
Student note: Under New York law, an employee's noncompetition agreement is reasonable and, therefore, enforceable only if it: (1) is no greater than is required for the protection of the employer's legitimate interest; (2) does not impose undue hardship on the employee; and (3) is not injurious to the public.
Case: TBA Global, LLC v Proscenium Events, LLC, NY Slip Op 01266 (1st Dept. 2014).
Here is the decision.
Monday's issue: A claim of unjust enrichment, and a 3211(a)(7) motion to dismiss.
