Risks for Departing Executives

How do executives and high level employees avoid liability and maintain business relationships as they move from one employer to another?

Executives and high-level employees establishing and growing their careers rarely stay with the same employer over the course of their professional lives. In today’s employment landscape, executives job-hop for a number of reasons, including building experience and reputation, monetary gain, perhaps even starting their own business. While shifting from job-to-job has its benefits, there can be many legal risks and drawbacks to executives as they leave one employer for another. Among these risks, issues related to breach of contract, fiduciary duties, trade secrets, proprietary information, employer-client relations, and future employers’ exposure to liability are some of the top concerns facing departing executives. “Navigating the Transition” (PDF  111 KB) discusses these potential risks and offers solutions regarding the best way for departing executives to transition from one employer to the next. While executives must use great caution when transitioning from one opportunity to the next, navigating the transition can be smooth if executives are armed with the knowledge to steer clear of legal liability and to avoid the wrath of a former employer.


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