No-Poach Guidance Caught In-House Counsel Off Guard

Law360, Washington (April 12, 2018, 8:42 PM EDT) -- Corporate legal departments were caught off guard by the U.S. Department of Justice’s 2016 guidance signalling that the agency would criminally prosecute certain employment-related agreements between companies, and a panel of in-house leaders said Thursday they’re waiting for further developments in the space.

The DOJ issued guidance in October 2016 saying agreements restricting competition for workers that are not tied to a legitimate business purpose — so-called naked no-poach agreements — could be prosecuted criminally, the same way traditional price-fixing and other cartel conduct is handled....
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