Legal Question in Technology Law in Georgia

Re: Corp-to-Corp Ethics

If you have contracts with these employees, you should look to see if it prohibits this type of situation. Also, look at your VAR contract with the software developer, if you have one, to see if it addresses this type of situation. (It probably was drafted with an eye toward protecting the developer, not VARs, however.) If not, there are a couple of possible avenues for you to look at. First, if the employees are taking trade secret information (which is defined in the Georgia Trade Secrets Act), you potentially can get injunctive relief and damages against the departing employees and the developer. In addition, if the new competing company is using confidential, but not trade secret, information, to go after your clients, you may be able to make a claim for tortious interference with contracts.

You really need to sit down with an attorney and see if you have any potential legal recourse. If you would like to speak with me about this issue, please feel free to contact me. I offer a free initial phone consultation.

The foregoing is general information only, not specific legal advice. No attorney/client relationship has been created or should be implied.

Re: Corp-to-Corp Ethics

Primarily, the software company's duties and obligations will be determined by whatever agreements your company has in place with it. However, there may be some additional "off contract" and statutory claims depending on the facts of the situation - breach of fiduciary duty, trade secret violations, tortious interference, etc. You will need to have an attorney review the agreements and discuss the circumstances.

If you would like to discuss any issues further, please feel free to contact my office. My contact information is below. Thank you.

The foregoing is general information only, not specific legal advice. No attorney/client relation has been created or should be implied.