The Business of Protecting Customer Relationships, as appeared in Law360January 25, 2012
Peter Altieri, a Member of the Firm in the Litigation practice, in the New York office, and David Clark, a Senior Counsel in the Litigation practice, in the New York office, cowrote an article titled "The Business of Protecting Customer Relationships."
Following is an excerpt:
Over a dozen years after the New York Court of Appeals specifically recognized, in BDO Seidman v. Hirshberg, 93 N.Y.2d 382, 690 N.Y.S.2d 854 (1999), that an employer may have a legitimate and protectable business interest in preventing former employees from exploiting or appropriating the relationships and goodwill of its customers which had been created and maintained at the employer's expense, some New York courts still appear to be reluctant to uphold contractual provisions in employment agreements that are designed simply to protect customer goodwill.
Reprinted with permission from Portfolio Media Inc., publishers of Law360.