Legal Opinion

Adp, LLC v. Nicole Rafferty Adp, LLC

Court of Appeals for the Third Circuit

Decided April 26, 2019No. 18-1796; 18-2603PublishedCited by 30 opinions

1Opinion of the Court

KRAUSE, Circuit Judge.

I. Introduction

In this appeal, we must determine whether certain restrictive covenants, which high-performing employees enter into as a condition of a stock award, constitute an impermissible restraint on trade under New Jersey law. We conclude that these restrictive covenants are not unenforceable in their entirety because they serve a legitimate business interest, but they may place an undue hardship on employees because they are overbroad. Accordingly, we will remand for the District Court to consider whether and to what extent it is necessary to curtail the…

2Cases cited22 opinions

  1. Colleen Reilly v. City of HarrisburgCourt of Appeals for the Third Circuit · 2017
  2. American Telephone And Telegraph Company v. Winback And Conserve Program, Inc.Court of Appeals for the Third Circuit · 1994
  3. Jacob v. Norris, McLaughlin & MarcusSupreme Court of New Jersey · 1992
  4. Charles Greenleaf, Jr., Alternate of the Estate of Charles Greenleaf, Sr., Deceased Naomi Greenleaf, in Her Own Right v. Garlock, Inc. Fibreboard Corporation Celotex Corporation Owens Corning Fiberglas Corp. Owens-Illinois Glass Co. Eagle-Picher Industries, Inc. John Crane-Houdaille, Inc. A.W. Chesterton Sepco Corp. Uniroyal, Inc. Owens Corning Fiberglas Corp. Owens-Illinois Glass Co., Third-Party v. Hopeman Brothers, Inc. Combustion Engineering, Inc. Anchor Packing Co., Inc. Armstrong World Industries, Inc. Green Tweed & Co., Inc. Melrath Gasket Company, Inc. Melrath Basket Holding Co., Inc. Pars Manufacturing Co., Third-Party Owens Corning, No. 97-1820. Charles Greenleaf, Jr., Alternate of the Estate of Charles Greenleaf, Sr., Deceased Naomi Greenleaf, in Her Own Right v. Garlock, Inc. Fibreboard Corporation Celotex Corporation Owens Corning Fiberglas Corp. Owens-Illinois Glass Co. Eagle-Picher Industries, Inc. John Crane-Houdaille, Inc. A.W. Chesterton Sepco Corp. Uniroyal, Inc. Owens Corning Fiberglas Corp. Owens-Illinois Glass Co., Third-Party v. Hopeman Brothers, Inc. Combustion Engineering, Inc. Anchor Packing Co., Inc. Armstrong World Industries, Inc. Green Tweed & Co., Inc. Melrath Gasket Company, Inc. Melrath Basket Holding Co., Inc. Pars Manufacturing Co., Third-Party Garlock, Inc., No. 97-1821Court of Appeals for the Third Circuit · 1999
  5. Brittan Holland v. Kelly RosenCourt of Appeals for the Third Circuit · 2018

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3Cited by30 opinions

  1. 23 LTD v. HermanColorado Court of Appeals · 2019
  2. 22ND CENTURY TECHNOLOGIES, INC. v. ILABS, INC.District Court, D. New Jersey · 2022
  3. DO NOT FILE IN THIS CASE TRANSFERRED TO CAMDEN NEW CIVIL ACTION NO. 1:20-cv-4575District Court, D. New Jersey · 2020
  4. ADP, LLC VS. ERIK KUSINS ADP, LLC VS. RYAN HOPPER ADP, LLC VS. ANTHONY M. KARAMITAS ADP, LLC VS. NICK LENOBLE ADP, LLC VS. MICHAEL DEMARCO ADP, LLC VS. DANIEL HOBAICA (C-000264, C-000023-16, C-000143-16, C-000117-16, C-000120-16, AND C-000118-16, ESSEX COUNTY AND STATEWIDE) (CONSOLIDATED)New Jersey Superior Court Appellate Division · 2019
  5. ADP, LLC v. LYNCHDistrict Court, D. New Jersey · 2020

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