Pope v. Rosenberg

Plaintiff executed a non-compete agreement restricting her ability to compete with an accounting firm that she sold to Defendant. Before the non-compete agreement expired, Plaintiff was awarded the position of office manager with a former client. Claiming that Plaintiff’s new employment was a violation of the non-compete agreement, Defendant stopped payments on a promissory note that was parties of the parties’ purchase agreement. Plaintiff responded by filing suit, alleging that Defendant breached the promissory note. Defendant counterclaimed, asserting that Plaintiff had breached the contract and the implied covenant of good faith and fair dealing. The district court concluded that Plaintiff had not violated the non-compete agreement and further found that Defendant had breached the terms of the promissory note. The Supreme Court affirmed, holding that the district court correctly found that Plaintiff’s employment fell within an exception to the non-compete agreement and therefore did not err when it found Plaintiff did not violate the non-compete agreement. View "Pope v. Rosenberg" on Justia Law