Clifford Chance

Federal Court Holds No-Poach Agreement Can Constitute Criminal Violation of Sherman Act

February 3, 2022

A federal court recently upheld the Department of Justice's ongoing criminal antitrust case against a dialysis company and its CEO, in which the defendants allegedly agreed with other employers not to solicit each other's employees. The decision marked the first time that a court has held that employee non-solicitation agreements can be per se, criminal violations of the Sherman Act. The decision will be an important precedent in other no-poach prosecutions.

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