The Superior Court said 'no.' Yesterday, the Supreme Court agreed (opinion in Socko v. Mid-Atlantic Systems of CPA, Inc. here):
In light of our Commonwealth’s long history of disfavoring restrictive covenants, and the mandate that covenants not to compete entered into after the commencement of employment must be accompanied by new and valuable consideration — a benefit or change in employment status — we conclude an employee is not precluded from challenging such an agreement executed pursuant to the UWOA. Thus, we affirm the order of the Superior Court.There goes that theory. Now, employers will have to create binding noncompetes the old-fashioned way . . . by making sense of a bunch of convoluted common law rules that inevitably fail to draw anything even remotely resembling bright line distinctions. Good luck!