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Court Watch
In two recent cases, California state courts considered issues that have been the subject of federal court opinions interpreting California law. In both cases, there was no clear guidance from California courts on the issues prior to the federal decisions. Under appropriate circumstances, federal courts will apply state law to a dispute. In order to determine what the applicable state law may be, federal courts look first to state court cases. In the absence of definitive state court cases on the issue, a federal court will make its own interpretation of what it considers the applicable state law to be.
Federal courts had engrafted a “partial restraint” exception to California Business & Professions Code '16600's prohibition against covenants not to compete. In Edwards v. Arthur Andersen, LLP, 44 Cal.4th 937, 81 Cal.Rptr.3d 282 (Aug. 7, 2008) the California Supreme Court made clear that there is no such exception under Section 16600. The court considered the validity of a covenant against competition that restrained a former employee of the defendant from working for or soliciting certain clients of the defendant for a limited period following the termination of his employment. California Business and Professions Code '16600 prohibits contracts restraining anyone from engaging in a lawful profession, trade, or business except in limited circumstances prescribed by statute, such as upon the sale of a business, corporation, or limited liability company, or the dissolution of a partnership. However, federal cases interpreting California law had decided that there was also a “narrow restraint” exception to Section 16600 allowing a limited restraint on competition as long as it did not completely prohibit someone from practicing their profession, trade, or business. See Comedy Club, Inc. et. al v. Improv West Associates, et. al, 502 F.3d 1100 (9th Cir., 2007) amended 514 F.3d 833, (9th Cir., Jan. 23, 2008), discussed in Franchising Business & Law Alert, Oct. 2007, pages 5-6.
New York's Latest Cybersecurity Commitment
On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.
The DOJ's Corporate Enforcement Policy: One Year Later
The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.
How AI Has Affected PR
When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.
CLE Shouldn't Be the Only Mandatory Training for Attorneys
Each stage of an attorney's career offers opportunities for a curriculum that addresses both the individual's and the firm's need to drive success.