Reasonableness: Non-compete agreements must be reasonable in terms of their scope and duration. This means that the restrictions must be no broader than necessary to protect the legitimate business interests of the employer, such as protecting trade secrets, confidential information, and/or customer relationships.
The following are the most common ways to get out of a non-compete agreement: Determine that the terms of the contract do not in fact prevent you from a desired course of action. Recognize when a non-compete contradicts the law. Negotiate a release agreement with the involved parties. Ignore the agreement.
(c) Employee name agrees not to set up in business as a direct competitor of company name within a radius of number miles of company name and location for a period of number and measure of time (e.g., “four months” or “10 years”) following the expiration or termination of this agreement.
If your non-compete agreement prevents you from pursuing the types of career opportunities that best fit your qualifications or interests, you may decide to challenge the agreement's validity on the following grounds: Employer fired you without cause. Employer breached terms of an employment contract first.
Add information about the parties involved. Describe the terms of the Non-Compete Agreement, such as the length and area of the restriction. If necessary, you can include a non-solicitation clause. Create any additional clauses you want to add.
You agree that at no time during the term of your employment with the Company will you engage in any business activity which is competitive with the Company nor work for any company which competes with the Company.
Like other contracts, a noncompete agreement is a binding document, and employees who sign them can't enter into direct competition with their former employer after leaving their job. Usually, this means that an employee can't work in certain industries or at particular companies for a set period of time.
What does NJ law say about noncompete agreements? State courts have upheld noncompete agreements, ing to a post by the Metuchen-based law firm Smith Eibeler. But the agreements have to protect a legitimate business interest, and enforce a reasonable scope, duration and geographic area, Muccifori said.
In Massachusetts, a non-compete is only enforceable to protect a legitimate business interest. Certain recognized interests include: the protection of trade secrets, confidential information such as client lists, computer data, and business plans, and.