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Existing employment relationship with no new consideration In 2014, the Kentucky Supreme Court made it clear that when an employer seeks to impose a non-compete agreement on an existing employee without granting additional consideration, the agreement is not enforceable.
While non-compete agreements are valid and enforceable under Kentucky law, they are not allowed to place an undue burden on the employee.
Non-competes remain legal, valid and enforceable in Kentucky if they meet certain requirements. With no Kentucky statute on point, judges have established rules through state common law in court opinions.
Typically, the only way to fight a non-compete agreement is to go to court. If you are an employee (or former employee) who signed such an agreement, this means you must violate the agreement and wait to be sued. It may be that your former employer has never sued another employee to enforce the non-compete agreement.
Duration: Noncompete restrictions typically last anywhere from six months to two years after the employment relationship ends. The total duration, however, might be shorter or longer depending on any employer's unique needs or interests.
If the clause is enforceable and you're in breach, there are various sanctions that your ex-employer can seek. These include: An injunction: This would stop you from carrying out your new role and you may also face payment of the other party's legal costs.
Existing employment relationship with no new consideration In 2014, the Kentucky Supreme Court made it clear that when an employer seeks to impose a non-compete agreement on an existing employee without granting additional consideration, the agreement is not enforceable.
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.
Duration: Long-term noncompete agreements rarely hold up in court. Typical agreements are two years or less, the most common being six months to a year. They can also include a severance option if the employee is terminated.