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Sunday, September 18, 2005
Ind. Decisions - Report on Marion County Judge Zore's ruling in employee termination case
John Ketzenberger, the Indianapolis Star business columnist, writes today:
George Buskirk was in for a big surprise when he signed a one-year noncompete agreement with local insurance company International Medical Group on Feb. 28. Three business days later, IMG fired him.Ouch! For months, he couldn't get another job in the area because he had agreed not to compete with the company.
But a judge ruled this month that IMG couldn't enforce the noncompete against Buskirk, who was a producer in the company's marine insurance line. The reason? IMG had decided to fire Buskirk in January, nearly six weeks before he signed the noncompete.
The unique case could test the notion of good faith in business dealings. Employers in Indiana can fire people for any reason, as long as it isn't discriminatory. If the Buskirk case goes further, however, it could break new ground in how the state views employer/employee relationships.
Buskirk didn't challenge the noncompete agreement. He argued that the timeline -- deciding to fire him before he signed the noncompete -- wasn't fair. It's the timeline that Judge Gerald Zore noted when he ordered the preliminary injunction.
And it's that timeline that could open the door for judicial review of how companies and workers interact in termination cases. The case may not be settled, although no further hearings are yet scheduled.
Buskirk's attorney, Edward DeLaney, called the case "simple," and said it "should have been resolved quickly."
Posted by Marcia Oddi on September 18, 2005 10:10 AM
Posted to Ind. Trial Ct. Decisions