Texas Breach Of Confidentiality Agreement

This information should not be considered legal advice, but can help you understand the possibilities you have when employees violate your confidentiality agreements. Therefore, this position should only be considered as general information. Sometimes violations of confidentiality agreements can be considered crimes. If a worker`s violation involved the theft of intellectual property or protected information, he or she could be criminally liable. As such, you could choose to bring the authorities to deal with the situation. In these cases, those who have committed offences may be fined or sentenced to imprisonment. What is it?, could an employer ask. That is why it is important that, according to the status of Texas, if the court is required to reform a non-compete agreement in order to make it reasonable, no compensation (on the basis of a violation of treaty theory) can be recovered on the basis of violations of the prior reform of the agreement. From the point of view of the employee being sued, reforming an overly broad agreement is a « Get out of jail free » card – it erases what has happened in the past (according to a contract theory; obviously, if the employer can make a theory of inaction, such as stealing trade secrets, that`s another thing). Pearl Energy Inv. Mgmt., LLC v. Gravitas Res. Corp., 05-18-01012-CV, 2019 WL 3729501 (Tex.

App.-Dallas August 7, 2019, no pet.) is a case of business secrecy related to the previous version of the Texas Citizens Participation Act (TCPA) Anti-SLAPP Status. (As of September 1, 2019, the TCPA no longer applies to trade secret requests.) At Pearl Energy, Gravitas, an oil and gas company, said it has spent years studying and evaluating the purchase of certain natural gas deposits in Anadarko Utah. In 2016, Gravitas approached Anadarko to buy the assets. Gravitas finally won the offer for the assets and began to negotiate a contract to buy and sell the assets…. Continue Reading Dallas Court of Appeals Affirms Denial of TCPA Motion in Trade Secrets Case But what happens if a confidentiality agreement goes too far? What if the text of a confidentiality agreement is broad enough to be a de facto non-competition agreement? In this case, would the usual compliance with confidentiality agreements apply? If an NDA is so broad that it « virtually prohibits the former employee from using the general knowledge, skills and experience it has acquired in competition with the former employer, » it may be considered a non-competition agreement. The reason is that an alleged confidentiality agreement, if it goes beyond the mere protection of an employer`s trade secrets and confidential information, can effectively restrict trade, as does a non-compete clause. Perhaps the most obvious way for you to deal with a breach of confidentiality is to terminate the employee`s employment. As a general rule, you are within your right to dismiss an employee who has violated this type of agreement.

If you have an employment contract, it is advisable to check the fine print before making your decision. Often, however, when workers violated confidentiality agreements, they probably also violated their employment contracts. Email the agreement to dorcontracts@listserv.uh.edu and include other contact information Companies that wish to keep their information confidential often address a number of legal contracts.