In its April 29, 2021, opinion, Pittsburgh Logistics Systems v. Beemac Trucking,―A.3d―, No. 31 WAP 2019, 2021 WL 1676399 (Pa. Apr. 29, 2021), the Supreme Court of Pennsylvania weighed in on whether no-hire, or “no-poach,” provisions that are ancillary to a services contract between business entities are enforceable under Pennsylvania law. The court declined to hold such provisions per se unenforceable. Its answer for the clause at issue, however, was a resounding “no.” Now, more than ever, it is critical for Pennsylvania companies and employers to consult with legal counsel to evaluate any no-poach provisions in commercial and employment agreements to increase the chances that these provisions will be upheld.
Read the full Alert on the Duane Morris LLP website.