Alabama Clauses Relating to Venture Nonexecutive Employees
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FAQ
Employee agrees that for _____ [months/years] after Employee is no longer employed by the Company, Employee will not directly or indirectly solicit, agree to perform or perform services of any type that the Company can render ("Services") for any person or entity who paid or engaged the Company for Services, or who ...
California law bars covenants not to compete in nearly all circumstances. In Edwards v. Arthur Anderson, the California Supreme Court determined that the law should be read strictly, and not only void the ?unreasonable? noncompete clause, but all noncompete clauses other than those explicitly allowed in the code.
Non-competition agreements must generally be supported by valid consideration, meaning the employee must receive something of value in exchange for the promise to refrain from competition.
Employee agrees that for _____ [months/years] after Employee is no longer employed by the Company, Employee will not directly or indirectly solicit, agree to perform or perform services of any type that the Company can render ("Services") for any person or entity who paid or engaged the Company for Services, or who ...
Noncompete agreements are contracts that companies use to reduce competition and prevent the spread of trade secrets. 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.
In considering whether to enforce non-compete agreements, courts generally recognize three ?protectable interests? that an employer may demonstrate to justify enforcement: (1) confidential information; (2) investment in specialized training provided to the employee; and (3) customer or client relationships.
Typically, non-compete agreements arise between an employee and employer or a purchaser and seller of a business. The agreement typically provides that the employee (or seller of a business) will not enter into the field of work, or a similar field, to that of the employer (or purchaser) for a certain length of time.
In Alabama, non-competes and non-solicitation agreements are void unless the agreement satisfies certain exceptions in the law. An employer seeking to enforce a non-compete must first establish it has a protectable interest.
