Ontario’s non-compete ban doesn’t remove all risk when hiring rival talent, says employment lawyer
OpenAI recently filed a case against Apple after an employee from the chipmaker team allegedly presented 1,000 files of an unreleased product to senior Apple leadership.
The company says the presentation happened months before Apple started making its own AI products, including the recently released Apple Home View product, according to CTV.
Apple alleged there was no evidence to prove OpenAI’s claims, as policies and procedures are in place to ensure new employees don’t share previous information with employers. According to CTV, this filing has been part of an ongoing trade secret dispute happening between the two companies.
Earlier this year, Apple filed its own lawsuit after an employee allegedly from the iPhone maker’s team took confidential information to OpenAI.
The ongoing dispute between the two companies brings up an important question for employers: what should you watch out for when hiring candidates from a competitor?
Jasmine El Hamidi, associate lawyer at JPAK Law, Toronto, says that while it is rare for competing companies to go after each other directly, there is still some red tape employers need to keep in mind.
“While the simple act of hiring someone from a competitor is generally not an issue, there are other considerations,” she says.
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