Federal Court Dismisses Non-Compete Claim Based on Facially Overbroad Activity Restraint

A federal district judge in Chicago has dismissed a non-compete case—at the pleading stage—finding that the non-competition covenant at issue was overbroad, as a matter of law, according to Winston & Strawn.

The firm’s post says that the judge ruled because the covenant restricted the employee from taking any position with another company that engaged in the same business as the employer, without regard to whether that position was similar to a position the employee held with the employer, or was otherwise competitive with the employer.

The case is Medix Staffing Solutions, Inc. v. Dumrauf.

Read the article.