A licensed massage therapist began working at H2O Salon. Pursuant to that engagement, the massage therapist signed a Non-Competition Agreement which provided that she will not engage in any business which competes with H2O, nor solicit any of H2O’s employees or customers within the parishes of Jefferson, Orleans, or St. Tammany, for a period of two years after her last day with H2O. It was uncontested that immediately after leaving H2O in December, 2011, the massage therapist opened her own spa business in Jefferson Parish.
H2O filed suit seeking specific performance of the Non-Competition Agreement and damages for lost revenue.
But, the only agreement signed was a non-competition agreement. Louisiana law requires that in order for a non-competition agreement to be enforceable against an independent contractor, there independent contractor must be performing “pursuant to a written contract” for such work. La. R.S. 23:921(C). Because the massage therapist was not working pursuant to a written contract, H2O alleged that the massage therapist was an employee.
At trial, there were facts presented at trial which support both the plaintiff and the defendant’s arguments regarding whether the massage therapist was an employee or an independent contractor. However, having considered the evidence and testimony in this matter, the Court found that the evidence weighed in favor of finding that she was an independent contractor.
Therefore, the Court found that the Non-Competition agreement at issue in this case is null for failure to comply with La. R.S. 23:921 C, and H2O’s Petition for Breach of Contract was denied.
The case citation for this decision is H2O Salon and Spa, Inc. v. Kristin Bullard, Case No. 728-499 (24th Judicial District Court for the Parish of Jefferson, August 30, 2018). The decision available here:
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