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From an Indian legal perspective, the Non-compete clause is prohibited under the Law of Contracts. Section 27 of the Indian Contract Act-1872 provides that - Every agreement by which anyone is restrained from exercising a lawful profession or trade or business of any kind, is to that extent void.
According to the California Business and Professions Code Section 16600, every contract by which anyone is restrained from engaging in a lawful profession, trade, or business of any kind is to that extent void. In other words, non-compete agreements are not enforceable in California.
Idaho law states that if a non-compete is unreasonable in any respect, a court must modify the agreement to reflect the intent of the parties and render the agreement reasonable and enforceable.
Interestingly, although a non-compete cannot prohibit direct competition for longer than eighteen months after the employment ends, if the non-compete's prohibitions last for only eighteen months or less, the non-compete is presumed under Idaho law to be reasonable and enforceable.
By Janet A. In California, North Dakota, the District of Columbia, and Oklahoma, non-competes are either entirely or largely unenforceable as against public policy. Other states, including Maine, Maryland, New Hampshire, Rhode Island, and Washington, have banned non-compete agreements for low-wage workers.
Assuming an employee meets the definition of a key employee, an Idaho court will enforce a non-compete obligation as long as it is reasonable in terms of duration, geographic scope, and scope of restricted activities.
It is possible to find non-compete loopholes in certain circumstances in order to void a non-compete contract. For instance, if you can prove that you never signed the contract, or if you can demonstrate that the contract is against the public interest, you may be able to void the agreement.
Interestingly, although a non-compete cannot prohibit direct competition for longer than eighteen months after the employment ends, if the non-compete's prohibitions last for only eighteen months or less, the non-compete is presumed under Idaho law to be reasonable and enforceable.