()

Justice Barry Ostrager

Read Full-Text Decision

Plaintiff sought a preliminary injunction to enforce restrictive covenants within an employment contract with employee Reuveni. The agreement bound Reuveni to a non-compete restriction if he voluntarily resigned, but not if he served in his position until expiration of his three-year employment term through March 2017. Plaintiff alleged Reuveni abruptly resigned on Dec. 2, 2016 triggering the non-compete restriction in his employment agreement. Reuveni claimed he was compelled to leave by the unreasonable conduct of plaintiff’s CEO, Heiberger, thus, the restrictive covenant should not be enforced against him. The court disagreed finding plaintiff demonstrated that the terms of the covenants were reasonable, establishing a strong likelihood of success on its claims that Reuveni breached his unexpired employment contract by unilaterally terminating the agreement and resigning before expiration of his employment term. Also, it found credible testimony revealed Heiberger was interested in retaining Reuveni, while Reuveni’s own testimony showed he was interested in alternate arrangements as early as 2015 that would free him from his covenant. The court ruled Reuveni breached the agreement and covenants, granting plaintiff’s motion for a preliminary injunction.