Notwithstanding California's strong public policy in favor of lawful competition, California employees' duty of loyalty to their current employer reigns supreme. A violation of that duty can lead to costly jury verdicts in favor of the employees' former employer. This was illustrated in the recent case, AeroVironment vs. Gabriel Torres, Justin McAllister and Jeff McBride.
When employees resign to join a competitor, care should be taken to avoid common mistakes that may give rise to litigation. Here are some things to keep in mind.
When employees jump ship, a company still may have legal options, even when the employees didn't sign non-competes.