Collier HMA v. Menichello a medical noncompete dispute, considers whether a third party can enforce a noncompete after a merger. Jettisoning the “changed corporate culture and mode of operation” test, the Florida appeals court applied basic principles of corporate law to determine whether a parent company’s merger necessarily meant its subsidiary merged too and couldn’t enforce …
Tag Archives: merger
Third Party Corporation Can Enforce Non-Compete After Stock Purchase
ThyssenKrupp Elevator Corporation v. Hubbard, 2013 WL 3242380 (M.D. Fla 2013) considers whether a company that buys the assets of another can enforce the purchased company’s non-compete agreements. The defendant was an elevator salesman for a company that was bought by the plaintiff. an elevator company. The defendant previously signed a non-disclosure (involving intellectual property), …
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Corporate Successor Liability in Illinois: the Rule and Exceptions
Corporate successor liability’s focal point is whether a purchasing corporation (Company 2) is responsible for the purchased corporation’s (Company 1) pre-sale contract obligations. It’s an important question because the Company 1 will usually have no assets after the purchase. Creditors of Company 1 will then try to pin liability on Company 2. The general rule in Illinois …
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