American Plumbing Professionals, Inc.v.Servestar, Llc Et Al.
American Plumbing Professionals sued ServeStar and former employees, alleging that ServeStar induced employees to violate employment agreements. The trial court granted ServeStar summary judgment on the tortious-interference claim after finding that the employees’ non-compete covenants had vague geographic limits and were unenforceable. The Court of Appeals of Georgia held that the covenants gave the employees fair notice of the maximum geographic scope contemplated by Georgia’s Restrictive Covenants Act. The language tied the restriction to the territory where each employee had provided services during the last twelve months and to areas where the company transacted business. Because the trial court used that mistaken interpretation to grant summary judgment, the appellate court vacated the ruling. The court did not decide whether the covenants were otherwise reasonable or whether ServeStar was entitled to judgment on another ground, and it remanded for those issues.
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