Lockton, former brokers reach settlement
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Lockton Cos. LLC has reached a settlement with two former employees who left the brokerage to join BRP Group Inc., according to court documents.
Lockton had accused the former employees, Eric Brown and Andrew Douglas, of violating their nondisclosure and nonsolicitation agreements when they abruptly left the company to join Tustin, California-based Burnham WGB Insurance Solutions, a unit of BRP Group Inc., on July 21, according to Lockton Cos. LLC-Pacific Series vs. Eric Brown and Andrew Douglas, filed in U.S. District Court in Kansas City, Missouri, on July 25. BRP was not named in the suit.
A Nov. 30 court order in the case said the plaintiff and defendants “have agreed in principle to a settlement that would resolve all pending claims in this matter” and “are working diligently to finalize the terms of the settlement.”
The filing was in response to a Nov. 26 order issued by the court stating that Lockton should show cause by Nov. 30 as to why the case should not be dismissed for its failure to “timely provide proof of service.”
On Dec. 4, the court ordered the parties to file either a stipulation of dismissal or a joint status report within 30 days.
Mr. Brown and Mr. Douglas contended in their own lawsuit, filed in state court in Santa Ana, California, that they should not be subject to Missouri law. That case was dismissed after a settlement notification was filed with the court on Oct. 5.
A Lockton spokeswoman said in a statement that the company does not comment on legal matters, and Mr. Brown and Mr. Douglas’ attorneys did not respond to a request for comment.
Two California noncompete laws that take effect in 2024 reinforce the state’s position as the most aggressive in discouraging noncompete agreements, presenting employers with enforcement challenges.
