Chancery Says It Can't Enforce NuVasive Noncompete In Del.

Law360 (August 26, 2019, 8:45 PM EDT) -- A Delaware vice chancellor ruled Monday that noncompete claims medical device company NuVasive Inc. lodged against competitor Alphatec Spine Inc. for hiring one of its former executives can't be enforced in Chancery Court, despite the state's choice-of-law provision, because such noncompete clauses conflict with California law.

In a 17-page memorandum opinion, Vice Chancellor Sam Glasscock III said noncompete and nonsolicitation provisions of a 2016 contract between NuVasive and former executive Patrick Miles, which purported to "import Delaware law into a California employment relationship," cannot be enforced because California's interest in those contractual issues outweighs Delaware's.

"Delaware's interest in freedom of contract...

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