WSP Blocks Release From Post-Acquisition Noncompete Pact.

Stephen Coon, an electrical engineer, is seeking to break free from a noncompete agreement he signed when WSP acquired kW Mission Critical Engineering, a data center design firm where he was a part owner. Coon filed a lawsuit in California, arguing that the provision was unconstitutional under state law. WSP has countered by filing for arbitration, claiming that Coon engaged in business dealings in multiple states before his contracts had expired. This dispute comes at a time when noncompete clauses are receiving renewed attention, with the Federal Trade Commission recently issuing a ban on future noncompete agreements. However, the ban does not apply to agreements entered into by individuals who sell a business or its assets. [Extracted from the article]