Sometimes, if an employee refuses to sign a non-compete agreement, employers will not go as far as firing the individual but can create a hostile work environment. If this occurs, the employee may have a different type of case that is included under employment law.
A noncompete is unenforceable if it restricts an employee's ability to exercise their rights under federal law. No employer may enter into a covenant not to compete or a covenant not to solicit with any employee. Existing noncompetes are void and unenforceable, including out-of-state noncompetes.
The Enforceability of Non-Compete Agreements in Florida In Florida, non-compete agreements are enforceable under Florida Statute 542.335, provided they are reasonable in terms of time, area, and line of business.
The FTC final rule, which the FTC approved on a 3–2 vote on April 23, 2024, and formally published on , would effectively ban all noncompete agreements and provisions that function as noncompete agreements between employers and workers as “unfair methods of competition.” The rule would further require ...
Other states may vary in the specifics of distance and time restrictions. And some states—including California, New Hampshire and Minnesota—have outlawed noncompete clauses in part or entirely. Get expert help from the AMA to understand physician employment contracts.
Are Non-Compete Agreements Enforceable in Florida? At the time of drafting this article, non-compete agreements are enforceable in Florida. The Federal Trade Commission (“FTC”) issued a rule in April 2024 providing that beginning on September 4, 2024, non-compete agreements would be unenforceable.
(1) Notwithstanding s. 542.18 and subsection (2), enforcement of contracts that restrict or prohibit competition during or after the term of restrictive covenants, so long as such contracts are reasonable in time, area, and line of business, is not prohibited.
In some jurisdictions, physician non-compete agreements are considered illegal and in violation of public policy. Unfortunately, that is not the law in Florida. In Florida, medical practices and healthcare systems routinely file suit to enforce doctor non-compete agreements.
Under Florida law, in certain circumstances, an independent contractor agreement can contain an enforceable non-compete clause.