The Challenge
As part of the company’s expansion into the United States, the client required employment agreements for newly hired employees. The agreements needed to clearly define compensation structures, including commissions and bonuses for sales-related positions, while also protecting the company’s confidential information and intellectual property.
The matter involved heightened confidentiality concerns because the employees previously operated a competing business in the same industry that the client was acquiring through an asset purchase agreement.
The client also sought to minimize the risk of future litigation and strengthen its ability to enforce restrictive covenants if disputes later arose.
The Solution
Nochumson P.C. began the engagement by meeting with the company’s primary stakeholders to identify the operational and legal issues most important to the business.
The firm then prepared customized employment agreements addressing compensation expectations, commissions, bonuses, confidentiality obligations, and post-employment non-competition restrictions.
To further protect the client’s business interests, the agreements included provisions acknowledging the company’s right to seek injunctive relief in the event of a breach of the confidentiality or non-competition obligations.
Nochumson P.C. also incorporated mandatory arbitration provisions and fee-shifting language designed to reduce the potential cost and complexity of future disputes.
Companies expanding into the United States often require employment agreements tailored to compensation structures, intellectual property protection, restrictive covenants, and dispute resolution considerations.
The Results
Nochumson P.C. successfully prepared employment agreements supporting the client’s North American expansion strategy while helping protect the company’s confidential information, competitive business interests, and intellectual property rights.
The agreements established clear expectations regarding compensation, post-employment obligations, and dispute resolution procedures for the client’s newly hired United States-based employees.
