Noncompetition Covenants In The M&A Context

Law360, New York (July 24, 2012, 3:57 PM EDT) -- A recent decision by the Ohio Supreme Court presents another challenge to the widely understood rule of corporate law that in a merger of corporations or other business entities, the existing rights and obligations of the constituent or target companies continue in force, especially their valuable contract rights and obligations.

This fundamental principle has come under attack from competing public policy considerations, particularly involving employment and intellectual property contracts. Companies engaging in mergers and acquisitions accordingly need to take particular care that contracts in these and...
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