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Outside the California State Building at 350 McAlister in San Francisco home of the state Supreme Court and the First District Court of Appeals. (Photo: Jason Doiy/ALM) Outside the California State Building at 350 McAlister in San Francisco home of the state Supreme Court and the First District Court of Appeals. (Photo: Jason Doiy/ALM)

California’s high court has ruled that companies are not liable for encouraging businesses to terminate their at-will contracts with other partners, so long as they don’t do so through “wrongful means,” and that a California statute that prohibits noncompete agreements for individuals can also apply to corporate entities.

The ruling, which sketches out the scope of legal competitive practices under the state’s antitrust and tort laws, surprised some experts, who say the decision deviates from the court’s anti-business reputation.

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Alaina Lancaster

Alaina Lancaster, based in San Francisco, covers disruptive trends and technologies shaping the future of law. She authors the weekly legal futurist newsletter What's Next. Contact her at [email protected]. On Twitter: @a_lancaster3

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