Counsel on Non-compete Agreements
You may have recently taken a new job and been presented with a covenant not to compete as a condition of employment. Such agreements — more commonly called "non-competes" — are fairly common, especially for executives, sales and marketing professionals, and others with access to customer information and other valuable data. A non-compete agreement may be presented as an individual document, or as one clause in a larger employment contract.
Consult a Lawyer About Signing or Challenging
There are two times when you should seek legal advice about your non-compete agreement:
Before you sign! Unfortunately, this usually doesn't happen. We can advise you on how restrictive the agreement is likely to be if you ultimately need to challenge it.
When you are considering a job change and have questions about whether your non-compete agreement can be enforced to stop you.
Some non-compete Agreements Cannot Be Enforced
At Gillespie, Rozen & Watsky, we have seen many non-compete agreements that are not enforceable because they do not fall within legal parameters for:
Geography — Some agreements are too restrictive in where they permit a person to work once they leave the company.
Time — A non-compete agreement must not impose unreasonable restrictions for how long a person is prohibited from working in a given industry or area.
Business purpose — Some agreements do not state clearly enough what business reasons justify their restrictions, and some may be viewed by the courts as an unfair restriction of trade.
We will review your new or current non-compete agreement and advise you on whether it is valid and enforceable — or unreasonable in its content. Our attorneys are solid resources for anyone who needs answers about the legality of making a job change when a non-compete agreement is in place. They are also knowledgeable on the content of other types of employment contracts.
One risk we advise you never to take is accepting a new position without telling your new employer you have a non-compete agreement with your current company. The worst can happen: The new employer finds out, and you are left without either job.
Contact Gillespie, Rozen & Watsky for advice on talking with a prospective employer about your agreement and how to deal with it.