Jackson Lewis: Minnesota Federal Court Rejects Automatic Tolling of Non-compete | Practical Law
This Law Firm Publication by Jackson Lewis LLP discusses the US District Court for the District of Minnesota's decision that a violation of a non-compete agreement does not automatically toll its terms. In US Water v. Watertech of America, the plaintiff sought a preliminary injunction to enforce a non-compete against its former employee including for periods beyond the agreement's expiration. The court granted the preliminary injunction only through the non-compete's expiration date, rejecting the plaintiff's assertions that the agreement had a tolling provision. The court also held it had no authority to toll the agreement for the period of the defendant's breach, as a matter of equity under Minnesota law.