Paul Greco, Counsel in the firm's Litigation section, authored practice notes about "Confidentiality Agreement Non-Solicitation Clause (PA)," published in Practical Law. This is the second of a three-part series.
This practice note addresses the use and enforceability of non-solicitation covenants in confidentiality agreements that support commercial transactions. Parties to a commercial transaction often use confidentiality agreements to protect proprietary information and trade secrets that might be exchanged during the course of a commercial transaction. As part of such agreements, the parties often include a covenant that restricts the solicitation of employees, customers, and suppliers. This practice note addresses the enforceability of such covenants under Pennsylvania law and suggests practice points for drafting effective agreements.
Missed Part I? Read it here.