The Texas Supreme Court has determined that, under the Texas Covenants Not to Compete Act, a covenant not to compete signed by a current employee in consideration for stock options is not unenforceable as a matter of law. The Court found the consideration is reasonably related to the company’s interest in protecting its goodwill, a business interest the Act recognizes as worthy of protection. Marsh USA v. Cook, No. 09-0558 (Tex. June 24, 2011).
For more information about non-compete agreements in Dallas, Texas go to www.businesslawyerdallastexas.com or call 214-855-0034 or e-mail jonathan@theleblanclawfirm.com
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