Multinational employers often negotiate, with their key employees, employment agreements and restrictive covenants that prohibit unfair competition across borders. To prevent inconsistent judgments and give the parties a firmer expectation regarding their rights, many employers negotiate choice-of-law and choice-of-forum provisions that select one jurisdiction’s laws or forum over another.
The enforceability of these provisions in the United States was recently affirmed by a Southern District court in Martinez v. Bloomberg LP.1 Martinez holds important lessons for multinational employers concerning the enforceability and limitations of these clauses.
