The U.S. Court of Appeals for the Ninth Circuit has affirmed a preliminary injunction issued by a district court, enforcing a noncompete agreement in a lawsuit filed by an insurance company against an employee who left to join a competing insurance company. The case is Aitkin v. USI Ins. Servs., Ltd. Liab. Co., No. 21-35497, 2022 U.S. App. LEXIS 12368 (9th Cir. May 6, 2022).
Michael Aitkin was employed by USI Insurance Services as a commercial agriculture insurance broker in Hermiston, Oregon. Aitkin and USI allegedly entered into a binding employment agreement in April 2018, in which Aitkin agreed to refrain from competing with USI during his employment and to provide 60 days' notice of his resignation to the company, according to court papers.
In February 2021, Aitkin abruptly resigned from his position without providing the required 60-day notice. According to USI's court papers, he immediately began working for Alliant, and soon after began to divert USI clients to Alliant.