Topic: covenant

COVENANTS NOT TO COMPETE ARE PROHIBITED IN CONNECTICUT FOR HOME HEALTH BUSINESSES

Just as the Connecticut legislature was about to vote on the budget this spring, a small provision was dropped into the budget bill. The provision, Section 305 of Public Act 19-117, states that “any covenant not to compete is against public policy and shall be void and unenforceable.” For purposes of this provision, “covenant not…

Read more

Before Adopting a Restrictive Covenant Program, Check For Fundamentals?

A relatively recent Connecticut Superior Court decision holding certain non-compete and non-solicitation covenants unenforceable illustrates the need for businesses to focus on fundamentals in creating and litigating these provisions.  It also illustrates that in some instances, old axioms in this area don’t always apply. The old axiom here is that courts are more inclined to…

Read more