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Edwards V. Arthur Andersen Llp: There Is Not A "Narrow-Restraint" Exception To California's Prohibition Of Noncompetition Agreements, And A General Release May Not Mean What It Says, Bradford P. Anderson
Edwards V. Arthur Andersen Llp: There Is Not A "Narrow-Restraint" Exception To California's Prohibition Of Noncompetition Agreements, And A General Release May Not Mean What It Says, Bradford P. Anderson
Golden Gate University Law Review
On August 7, 2008, the California Supreme Court issued a vital enunciation of State Law in the decision of Edwards v. Arthur Andersen LLP. The court explicitly rejected the existence of any "narrow restraint" exception to California's prohibition against noncompetition agreements under California Business and Professions Code section 16600. The majority also stated that a general release "does not encompass nonwaivable statutory protections, such as the employee indemnity protection of [Labor Code section] 2802,'' even if the express language of the contract is all-encompassing. The Edwards Court's rejection of a "narrow-restraint" exception brings needed certainty to interpretation of Business and …