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Employee nonsolicitation obligation
Posted October 16th, 2007 by DCT
The Pactix employee-nonsolicitation clause does not prohibit hiring of another party’s employees. No-hire clauses are not unknown in contracts, but it has never been clear, at least in the author’s mind, whether such clauses might raise antitrust issues.
Note also that the nonsolicitation clause does not state a specific remedy for violation. Some parties may find it useful to include the section entitled “Employees: Compensation for hiring away.”