Category: Corporate & Business law
Be Wary of Letters from Lawyers Claiming Your Company Name Is at Risk
September 16, 2024 | Carole Clark Isakson
Over the last several months, we have seen an uptick in the number of false claims being made concerning company names. These claims come in the form of a letter from a lawyer warning the recipient that its business name is about to be “taken” by a third party. There is an offer of help, and frequently a claim that if the recipient doesn’t act, this unknown third party will file a trademark application on the company name and deprive the recipient of the right to use it. THESE CLAIMS ARE GENERALLY FALSE. There is a difference between an entity name (i.e. for an entity that is created at the Secretary of State level) and a trademark, although they can certainly also be the same. A trademark designates the source of goods or services. It exists, meaning you own rights to it, when you start using it. One way to enhance the protection of a trademark is to file an application to register it with the United States Patent and Trademark Office—though you still own it and have rights to it even if you do not register it. This is a common misconception, and one that lawyers prey upon. Simply put, your company name is yours in the state where you created it. And if your…
Read MoreAll About NDAs (And Why Your Business Needs Them!)
September 12, 2024 | Carole Clark Isakson
This blog focuses on the many times your business will need an NDA—and why printing one from the internet might not accomplish what you need. A Non-Disclosure Agreement (NDA) is a binding document that restricts one party or multiple parties from disclosing certain information that is to be shared. Key points: An NDA can be in favor of only one party or cover all of them. Don’t assume the NDA that is presented to you covers your information unless it specifically says it does. The NDA should state its purpose. If there is a question later about how to interpret the document, knowing why the parties entered into it in the first place will help. The document will include a definition of “Confidential Information” which may need to be revised to reflect your specific data. The NDA will state how the Confidential Information can be used and by whom. Pay attention to this section, and make sure that the other party is responsible if its representatives wrongfully disclose or use your information. A common provision in more current NDA forms will provide for the destruction of the information under certain circumstances. Your attorney will ensure this is correctly drafted to protect your information and address the fact that electronic records may live forever. A well-crafted…
Read MoreThe Ever-Changing Landscape of Non-Compete Agreements | Part 1/4: A Summary of Minnesota’s Non-Compete Laws
August 19, 2024 | Kristin Kingsbury
Key Takeaways Under Minnesota State Law: Businesses should not use non-compete agreements for their employees and should not be including non-compete language in their employee handbook or onboarding processes anymore. Existing non-compete agreements entered before July 1, 2023, are still valid, so long as they are reasonable. Good Practice: Conduct due diligence on current agreements to verify that sufficient protections exist. Assess employees’ access to trade secrets to ensure business interests are being properly protected. Review venue provisions in form employment contracts. Review and strengthen less restrictive alternatives (e.g., NDAs, non-solicitation agreements, trade secret law, forfeiture provisions, etc.). Consult with an experienced attorney to determine the best courses of action for your specific situation. This is Part One of a Four-Part series on recent developments in non-compete law. This article details the nuts and bolts of the Minnesota statutory prohibition on non-competes, effective July 1, 2023. The next article will outline the Rule promulgated by the Federal Trade Commission (FTC). The third article in the series will summarize litigation attacking the FTC Rule. The fourth and final article in the series will address practical guidance going forward, including the impact of the United States Supreme Court reversing the Chevron doctrine on the FTC Rule – in whatever form it may be considering the…
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