Google Screened

Are You in the Healthcare Field?

Find Out How We Can Help »
[et_social_follow icon_style="slide" icon_shape="rectangle" icons_location="top" col_number="1" outer_color="dark"]
Millions Recovered For Our Clients No Fees Unless We Win

Pennsylvania Supreme Court Strikes Down “No-Hire” Clauses Between Businesses

May 4th, 2021
Hire an Employment Lawyer

The Pennsylvania Supreme Court handed down a ruling Monday that could have significant impact on how business is conducted in the Keystone State. In deciding Pittsburgh Systems, Inc. v. Beemac Trucking, et. al., the commonwealth’s highest court declared attempts by companies to deter hiring away of employees as part of business contracts were illegal. The case stemmed from the plaintiff, Pittsburgh Logistics Services, Inc. (PLS), a shipping logistics firm, and their contract with the defendant Beemac Trucking (Beemac), a trucking company moving freight. The terms of 2010 deal included non-solicitation and no-hire provisions between the two companies, which lasted two years longer than the duration of the original one-year term. However, while contracted, Beemac hired four employees away from PLS.

The Court acknowledged PLS had an interest in retaining the employees they hired and trained. However, the terms of the no-hire clauses were potential public harm and beyond what was needed to protect the original employer. The agreement did not differ for employees who were or were not directly involved with the Beemac deal, which the Court deemed too broad. The deal also stifled free trade in the industry, which creates an additional public harm. Perhaps most importantly, none of the employees signed onto the deal, which is required for the enforceable restrictive covenant to take effect, as per state law.

Employment law is a complicated field, even when companies dutifully follow the law. Those trying to work through any sort of disagreement with their employers can feel overwhelmed and underprepared. It helps to have an experienced ally on your side. The employment law attorneys at The Gold Law Firm P.C. have dealt with a variety of cases and can assist you to reach your legal goals. Call today at 215-569-1999 or contact us online for a free consultation. Based in Philadelphia, we are proud to serve the hard-working citizens of Wilkes-Barre, Scranton, Northeast Philadelphia, Bucks County, Chester County, Delaware County, Montgomery County, and Cherry Hill, South Jersey.

EMPLOYMENT LAW PRACTICE AREAS
View All Practices
2019 American Trail Lawyers badge
Lead Counsel Rated
life time achievement
million dollar advocates badge
AV Peer Review Rated
Philly Happening
Top one badge
Silver Client Champion Award 2020
super lawyers badge

As Seen On

avvo lawyers.com Martindale Justia FindLaw
© 2024 Sidney L. Gold and Associates, P.C. All rights reserved. [ Site Map | Privacy Policy ]

Attorney Advertising Materials. Sidney L. Gold is responsible for the content of this website. This website is designed for general information only. The information presented at this site should not be construed to be formal legal advice nor the formation of a lawyer/client relationship.

Website Accessibility: Sidney L. Gold & Associates P.C. is committed to ensuring digital accessibility for people with disabilities. We are continually working to improve the accessibility of all content on our website and applying the relevant accessibility standards.

* The awards and accolades displayed on this website were issued to the attorneys, or the entire law firm by the respective providers of these honors. They are as follows, Avvo Inc., Super Lawyers®, Martindale Hubbell Peer Review Rated, ASLA Top 100 Lawyers, Million Dollar Advocates Forum, Legal Leaders Top Rated Lawyers, Bar Register Preeminent Lawyer, Happening List Winner, BBB Accredited Business, National Association of Distinguished Counsel Top 1 Percent, America's Top 100 Attorneys, The Employee Rights Advocacy Institute for law and policy, Best Lawyers, Lead Counsel Rated, Top Employment Lawyers in Philadelphia, Association of American Trial Lawyers Top 100 and Martindale Hubbell Client Champion Silver. No aspect of these advertisements have been approved by the Supreme Court of New Jersey.