Fisher & Phillips: Wisconsin Court Throws Out Choice-of-Law Provision, Then Enforces a Non-Compete Anyway | Practical Law

Fisher & Phillips: Wisconsin Court Throws Out Choice-of-Law Provision, Then Enforces a Non-Compete Anyway | Practical Law

This Law Firm Publication by Fisher & Phillips LLP discusses Schetter v. Newcomer Funeral Service Group, Inc., in which the Eastern District of Wisconsin enforced a restrictive covenant with an expansive geographic provision, despite the court's rejection of a Kansas choice of law provision that would allow greater judicial modification of overbroad agreements. Although the agreement's 25-mile geographic restriction applied not only to the location where the employee worked, but all company locations, the court refused to find the restrictive covenant overbroad because of the employee's knowledge of confidential company information that extended to all locations. In endorsing the enforceability of the agreement, the court also noted that the employee received a $1000 payment in return for signing the agreement.

Fisher & Phillips: Wisconsin Court Throws Out Choice-of-Law Provision, Then Enforces a Non-Compete Anyway

by Fisher & Phillips LLP
Published on 06 Jul 2016United States, Wisconsin
This Law Firm Publication by Fisher & Phillips LLP discusses Schetter v. Newcomer Funeral Service Group, Inc., in which the Eastern District of Wisconsin enforced a restrictive covenant with an expansive geographic provision, despite the court's rejection of a Kansas choice of law provision that would allow greater judicial modification of overbroad agreements. Although the agreement's 25-mile geographic restriction applied not only to the location where the employee worked, but all company locations, the court refused to find the restrictive covenant overbroad because of the employee's knowledge of confidential company information that extended to all locations. In endorsing the enforceability of the agreement, the court also noted that the employee received a $1000 payment in return for signing the agreement.