$4 Million Award to Former Executive in Non-Compete Dispute

I wrote a few words below about non-compete agreements and their proliferation.  Now comes a story about a company that must pay $4 Million for denying compensation to an executive who refused to sign a non-compete agreement.  In this particular situation, the employer (H&R Block) attempted to force its Chief Operating Office to sign a non-compete.  When the executive refused, the company denied payment of stock options and refused to pay contractually obligated severance pay.  The articles do not mention it, but presumably the company thought it could argue that refusal to sign the non-compete was sufficient cause to deny payment of the stock options and severance.  The award includes $3.01 million in compensatory damages, $466,565 in interest, and $481,910 in attorney’s fees.

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Daniel Kalish

A graduate of Harvard College and Yale Law School, Mr. Kalish is an experienced trial lawyer who has tried more than thirty trials to jury verdict. Mr. Kalish’s practice focuses on complex trial work, and he represents employees in all aspects of employment litigation.

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