Category Archives: Employment Law

Ongoing Employment is Adequate “Consideration” to Make a Non-compete Agreement Binding in Wisconsin.

Last fall [we are back after a long and busy winter] we touched on an issue important to employers and employees dealing with non-compete agreements.  That issue was whether or not continued employment was sufficient consideration to support a covenant not to compete. By way of background, there is a basic rule of contract law that requires an agreement to be supported by sufficient consideration to be binding. The idea of “consideration” refers, generally, to some legal benefit or something of value given in exchange for a promise to be bound by contract. In other words, the party agreeing to be bound […]

Enforcing a Non-Compete – No Signature No Problem?

A recent legal opinion from a Texas Court of Appeals generated some legal buzz because of its ruling on the enforceability of a non-compete.  The Court upheld a restrictive covenant even though the employee never actually physically signed the document. In reaching its decision, the Court really touched on two important legal issues surrounding non-competes. We can use the Texas case to highlight those two interesting issues and evaluate whether or not the same thing could happen in Wisconsin. The case is Cameron Int’l Corp. v. Guillory, 2014 Tex. App. LEXIS 10767, 9-11 (TX App., 1st Dt., 2014), and involved an employee of an […]

Is Continued Employment Adequate “Consideration”
to Make a Non-compete Agreement Binding?

Both employers putting non-compete agreements in place and employees who hope they might be able to avoid the enforcement of such an agreement bring up this issue frequently. Fortunately, it looks like the Wisconsin Supreme Court will give further direction on the matter. For background, there is a basic rule of contract law that requires an agreement to be supported by sufficient consideration to be binding. The idea of “consideration” refers, generally, to some legal benefit or something of value given in exchange for a promise to be bound by contract. In other words, the party agreeing to be bound […]