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A March 18, 2013 case in Federal court in the District of Columbia teaches some useful lessons on the limits of libel law when an employer makes a reasonable publication for a contractually permitted purpose, and does not publish the allegedly defamatory statement any more broadly than necessary.
Employers drafting non-solicitation or noncompete clauses sometimes try to raise the stakes and deter violations by requiring the loser in a proceeding to enforce the clause to pay the winner’s attorney’s fees. However, employers also face substantial financial risk if they make claims of violations but their proof falls short. Continue reading