Duke University, No-Poach Agreement, North Carolina 2019
Duke University, No-Poach Agreement, North Carolina 2019
A federal district court in North Carolina has entered a unique final judgment in a private no-poach class action that approves the parties’ settlement agreement and allows the United States to enforce the injunctive relief and compliance provisions of the settlement agreement. The settlement followed the Justice Department’s successful intervention in the case, which challenged alleged agreements between Duke University and the University of North Carolina not to compete for each other’s medical faculty.
Under the terms of the settlement, Duke University is prohibited from entering, maintaining, or enforcing unlawful no-poach agreements for five years. The settlement also requires Duke to implement rigorous notification and compliance measures to preclude its entry into these types of anticompetitive agreements in the future. The court’s order gives the United States the right to enforce the injunctive relief provisions of the settlement.
Assistant Attorney General Makan Delrahim applauded the entry of the final judgment. “This settlement is part of a larger effort by the Division to be active in enforcing the antitrust laws against practices that harm the hard-working American worker and educating the public about unlawful no-poach agreements in order to deter such agreements in the first place,” said Assistant Attorney General Delrahim.
The case is Seaman v. Duke University and Duke University Health System, Case No. 1:15-cv-000462-CCE-JLW (M.D.N.C.). On June 9, 2015, Dr. Danielle Seaman, an assistant professor at Duke University School of Medicine, filed a class action alleging that Duke and UNC agreed not to permit lateral hiring of faculty between the universities. Her complaint further alleged that the universities’ agreement violates Section 1 of the Sherman Act by eliminating competition for faculty, restricting their mobility, and suppressing their compensation. In 2018, the court certified a class comprised of faculty members with an academic appointment at the Duke or UNC Schools of Medicine.
On Sept. 25, 2019, a federal district court in North Carolina entered a final judgment in the case. The settlement is a major victory for workers and underscores the importance of enforcing antitrust laws against no-poach agreements. The Antitrust Division has taken a proactive approach in addressing these types of agreements and will continue to work to ensure that employers are held accountable for their actions.
Duke University is a private research university located in Durham, North Carolina. It has several schools and institutes, including the Duke University School of Medicine. The university is prohibited from entering, maintaining, or enforcing unlawful no-poach agreements for five years as part of the settlement.
Defendant: Duke University
Exact Criminal Charges: Entering, maintaining, or enforcing unlawful no-poach agreements
City and State: Durham, North Carolina
Exact Date: Sept. 25, 2019
Sentence or Outcome: Prohibited from entering, maintaining, or enforcing unlawful no-poach agreements for five years
Defendant Name: Duke University
Crime: No-Poach Agreement
State: North Carolina
Year: 2019
Key Facts
- State: North Carolina
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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