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Employee Won't Sign a Non-Compete: Grounds for Dismissal?

By Albert J. Solecki, Jr. and Lori A. Mazur
August 01, 2003

A former employee may proceed with whistle-blowing and claims of wrongful discharge against an employer who fired her for refusing to sign a non-compete agreement. On April 16, 2003, the New Jersey Appellate Division (the Court) so ruled in Maw v. Advanced Clinical Communications, Inc. (ACCI), 359 N.J. Super. 420 (App. Div. 2003). In so holding, the Court concluded that terminating Karol Maw for failing to sign an agreement that prohibited her from working for any client or competitor of ACCI during and for 2 years following her separation from employment may well have violated New Jersey's strong public policy against unduly burdening employees by restricting their right to engage in their chosen field of employment.

The Facts

Maw began working for ACCI as a graphics designer in early November 1997. Her job was to design written materials to be used by ACCI in its marketing and educational programs for clients in the health care and pharmaceutical industries. In that capacity, she created design concepts for written and graphic materials; prepared the design and layout of technical charts, graphs, and reports; and coordinated with ACCI's vendors. ACCI did not require her to have any knowledge of, or experience in, the pharmaceutical or health care industries. Indeed, Maw had no training or education in any medical or pharmaceutical science, and alleged she understood little about the substantive content of the materials she produced.

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