Intuitive Surgical sues J&J’s Ethicon for ‘legal gymnastics’ over sales rep’s non-compete

Johnson & Johnson (NYSE:JNJ) subsidiary Ethicon is using “intricate legal gymnastics” to sidestep California’s restrictions on non-compete agreements, aiming to prevent its employees from hiring on with Intuitive Surgical (NSDQ:ISRG), the robot-assisted surgery company alleged last week in a lawsuit.

The Golden State’s “labor mobility” statutes mean that non-compete agreements are void. Ethicon sought to get around that by filing a lawsuit in an Ohio state court, seeking an injunction to prevent Intuitive from hiring 1 of its sales reps, Scott Szesterniak – even though Szesterniak lives and works solely in California, according to the lawsuit.

Shortly after he signed on last month with Sunnyvale, Calif.-based Intuitive as a clinical sales rep in Los Angeles, Szesterniak allegedly gave his notice at Ethicon and promised not to call on any of the sales contacts he’d had for the prior 18 months.

By Brad Perriello | MassDevice

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About Peter Coffaro 1060 Articles
A growth-driven and strategic executive, Peter Coffaro commands more than 20 years of progressive management success within the medical device industry. As a District Sales Manager for Stryker Orthopaedics, Peter was responsible for managing and directing a regional sales force to achieve sales and profit goals within the Rocky Mountain region. Previously, he was the Director of Sales & Marketing for Amp Orthopedics. In this role, Peter was responsible for planning, developing, and leading all sales and marketing initiatives. Peter is a former orthopedic distributor in the Pacific Northwest. He has also worked with DePuy Orthopaedics as well as Zimmer, and held positions in sales, sales training, and sales management. Peter has an extensive background in organizational development, business development, sales management, negotiating and P&L management. Peter holds a B.S. degree in Biology from Northern Illinois University.

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