The releasor authorizes his/her employer to release employment references including, but limited to, his/her employment history and wages and any information which may be requested relative to his/her employment, employment applications, and other related matters, and to furnish copies of any and all records which the employer may have regarding his/her employment.
Employment Agreement With Non Compete Clause In Minnesota
Category:
State:
Multi-State
Control #:
US-00458
Format:
Word;
Rich Text
Instant download
Description
Form popularity
FAQ
On July 1, 2023, Minnesota joined the growing number of states prohibiting employment non-compete agreements, a drastic change for employees and employers operating in the state.
From a legal perspective, including NDAs in employment agreements in Minnesota strengthens the enforceability of confidentiality obligations. It provides a formal framework for outlining the scope of confidentiality and the consequences of violating the agreement.
Key Takeaways Under Minnesota State Law: Existing non-compete agreements entered before July 1, 2023, are still valid, so long as they are reasonable.
If a Minnesota court finds a non-compete unreasonably broad, the court can "blue pencil" the agreement by reducing the scope, duration, and/or geographic limits of the agreement to the minimum extent necessary to make it reasonable. This is called the "blue pencil doctrine".
2. NDAs are enforceable when they are signed — if they are properly drafted and executed.
Take a non-competitive job or role outside your current employer's specialty. Prove your employer breached the contract to invalidate the non-compete clause. Argue that the non-compete is overly restrictive or not enforceable. Negotiate or prove no legitimate business interests exist to uphold the agreement.
Restrictive employment covenants; void and unenforceable. (a) No service provider may restrict, restrain, or prohibit in any way a customer from directly or indirectly soliciting or hiring an employee of a service provider. (b) Any provision of an existing contract that violates paragraph (a) is void and unenforceable.
Non-Competitive Activity at New Employer: One of the most straightforward ways to overcome a noncompete is by ensuring that your new role with a different employer is in a non-competitive capacity. If you're not engaging in activities that directly compete with your former employer's business, you may be in the clear.
If an employee breaks or violates the terms of a legally enforceable non-compete agreement, the employer may file a lawsuit against the employee and ask a court for an injunction to stop the employee's allegedly improper activity.
Protecting proprietary information through employee NDAs is not only a best practice but also a legal necessity for businesses in Minnesota.
