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11 Cards in this Set
- Front
- Back
Restrictive Employment Coveneants |
1. Non-compete 2. Confidentiality of non-disclosure 3. Non-solicitation |
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Non-Compete |
Wont go work for an alike company 1. Does the restriction have a legitimate business purpose? 2. Is the restriction reasonable regarding time and area --2 years or less is reasonable 3. Under hardship -- is the employee not going to be able to find work? |
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Non-disclousure |
Can't give confidential informatin to another company |
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Non-solicitation |
Can't persuade employees or customers to join you at your new firm If the time is limited, it's more likely to be legal |
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Exculpatory Clause |
Company is trying to get out of something bad that happened to you See it a lot at sports games 3 Rules for these provisions: 1. Provisions are legal if the most they do is shield the business from liability for negligence 2. If your business owes a duty to the public, you're not shielded from anything - even negligence -- normally public transportation 3. Can't use it to avoid worker's compensation |
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Unconscionable |
A contract that's really unfair 2 kinds: 1. Procedural -- has to do with bargaining and negotiation process -- high pressure sales tactics 2. Substantive --the actual terms of the contract are unfair -- courts don't care as much Courts can: i. decide the entire contract is unenforceable ii. Split the parts and only enforce what's conscionable iii. Rewrite the unconscionable parts to make them legal |
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Contract adhesion |
Given a contract as a consumer and told to take it or leave it Illegal is it's substantively unconscionable |
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Licensing Laws |
Many professionals must be licensed i.e doctors, lawyers If you're supposed to be licensed and conduct professional services without one, it depends whether it's legal If license was designed to protect the public, then it's illegal to practice without one If license was designed to raise revenue, then it's okay to not have one |
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Straub Case |
Women in couple wants a baby, but guy doesn't. She gives him an ultamatum; he agrees to have baby as long as he doens't have to pay for it. They make a contract. When baby is born she wants him to pay for it. He refuses, but the contract isn't enforceable sinces its contrary to public policy in Indiana - if you're a biological parent you have to support your child financially Not the same for sperm donors |
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Riggs Case |
Dr. Mary Riggs has a non-compete with her medical group. She leaves anyway and argues that since the group isn't licensed, the non-compete is illegal. In appeals court she loses. Court decides that license is for revenue purposes, therefore the non-compete was legal. |
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McCuin vs. Myrtle Beach Case |
She goes to paintball range. Worker puts on mask but it doesn't fit well. Mask slips off during match and she's shot in the eye. She sues for negligence, but loses becuase she signed a waiver protecting the company against negligence |