Will Pennsylvania courts enforce a restrictive covenant against a terminated employee? In short, assuming the termination is not wrongful, Pennsylvania courts may enforce the restrictive covenant notwithstanding the employee's termination under certain circumstances. Insulation Corp. of Am. v. Brobston, 667 A.2d 729, 736 (Pa. Super. Ct. 1995); Missett v. Hub Int'l. Pa., LLC, 6 A.3d 530, 539 (Pa. Super. Ct. 2010). The circumstances surrounding the former employee's termination will affect at least two factors considered by a court in deciding whether to enforce a restrictive covenant: the legitimacy of the employer's interests and the degree of hardship imposed upon the terminated employee. Brobston, 667 A.2d at 737.
Brobston is the seminal Pennsylvania case on the impact of the termination of an employee in an action to enforce a restrictive covenant. In Brobston, an employer attempted to enforce a covenant not to compete against a former employee who had been terminated for poor job performance. 667 A.2d at 734-35. In declining to enforce the covenant...
