Patricia Prezioso, Chair of the Sills Cummis Employment and Labor Practice Group, provided an example of a “no-poach” agreement for a NorthJersey.com article.
As seen in the article: “[L]et’s say a company makes magic widgets. One employee has the skills to make the magic, but not the shell of the widget itself. That company would have to contract with another to get the widget built. These two companies may want to have a “no-poach” agreement that the magic-worker can’t go work for the widget company, and vice versa. That way, both company’s trade secrets are protected. ‘In this example, it would keep the shell-making employer from ‘poaching’ the magic maker, and making a competing product,’ she said. ‘Or the magic widget maker from poaching the employees to make the shell itself.’”
