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For this assignment, you will be reading and answering three cases involving three different types of contract disputes and answering a series of questions about them. Some of the questions can be...

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For this assignment, you will be reading and answering three cases involving three different types of contract disputes and answering a series of questions about them. Some of the questions can be answered based in information in the decision, while others ask for your opinions based on your business and legal knowledge. [The point value of each question is set forth in red brackets] Note regarding “summary determination”: Each of these cases involve a decision rendered by the trial court on “summary determination.” As explained in these cases, summary determination is appropriate when there is no legitimate dispute over the facts, or where any dispute over facts is not relevant to the outcome. A summary determination reflects a decision by the court that one party is entitled to prevail “as a matter of a law” and that the case need not go to a jury. Teksystems, Inc. v. Jonathan Bolton. This case involves an attempt by an employer to enforce a non-compete clause against a former employee. 1. Why didn’t Teksystems sue SDA (Bolton’s new employer) for breach of contract? [1 point] 2. Is there any other legal claim that Teksystems might be able to assert against SDA? [1 point] 3. Bolton previously worked in New York and now resides and works in New Jersey, yet the court applied Maryland law. What legal and factual reasons does the court cite to explain why it is applying Maryland law? [2 points] 4. Did Bolton dispute whether he had breached the Covenant Not to Compete? [1 point] 5. Under Maryland law, what factors are relevant in determining whether a non-compete clause is enforceable? [3 points] 6. Addressing each of these factors, did the court find that they weighed in favor of Teksystems or Bolton? [3 points] 7. Under Maryland law, does it matter whether the employer has actually been harmed by the employee’s work for a competitor? [2 points] 8. By the time of this court decision, the 18 month term of the non-compete covenant had expired, but the court determined that the covenant would remain in force for another 18 months from the date of the decision. In your opinion, is this a fair result (assuming it is undisputed that the covenant was legally enforceable and was breached by Bolton)? Why or why not? In answering this question, consider any alternative remedies that could have been imposed by the court? [2 points] 9. Assuming that Teksystems was advised by its lawyer that it was unlikely to recover damages from Bolton, what other business reasons would Teksystems have to pursue the case? [2 points] 10. The tech staffing industry accounts for a high percentage of litigation over non-compete clauses. Why is that? [1 point]
Answered Same Day Dec 29, 2021

Solution

David answered on Dec 29 2021
118 Votes
Case
Contract disputes
Case studies
Case
Case study 1
Teksystems, Inc. v. Jonathan Bolton.
1. Teksystems didn't sue SDA (Bolton’s new employer) for
each of contract as the
contract had been formed with Bolton and not his future employer. As the contract was
formed between two parties being Teksystems, Inc. v. Jonathan Bolton, then in case of
each of contract, Teksystems can sue only Jonathan Bolton.
2. There is absolutely no legal claim that Teksystems might be able to assert against SDA
eason being, that the contract is between Teksystems and Bolton. As SDA is not a party to
the contract, then there is no way in which a legal claim can be made against SDA.
3. In the court case, though Bolton previously worked in New York and now resides and
works in New Jersey, yet the court applied Maryland law, because Maryland law covers all
conventions that have been formed through the previous court cases judgments.
The legal and factual reasons that the court cites to explain why it is applying Maryland law
is that there is a need to refer to previous court cases and determine as to which of the
contract laws are applicable in this case based on the results of those cases. Moreover TEK
corporation is a Maryland corporation.
4. Yes, Bolton did dispute whether he had
eached the Covenant Not to Compete because
he had to accept the fact that he had
eached the contract and that he was required to pay
damages which could lead to several hardships and also the covenant which restricts him
from working with a competing firm is
oad.
5. Under Maryland law, the factors that are relevant in determining whether a non-compete
clause is enforceable include the provision of unique services to a firm where in competition
Case
may arise if the employee joins a competitor. If the skills and services are not unique then
this clause is not enforceable.
Moreover the fact that there should be trade secrets, only then for its protection it is possible
that such clauses may be made applicable is essential, makes it a crucial factor in
determining the applicability of the non competence clause. Another factor is reasonability.
6. Addressing each of these factors, the court find that they weighed in favor of Teksystems
eason being that several of the covenants in the contract like the geographical restriction
and a period of 18 months, were reasonable, specific and binding. Though the covenant of a
competing firm is a
oad aspect, it results in a judgment which should be based on
ationality and reasonable judgment. Teksystems.
7. Under Maryland law, it greatly matters whether the...
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