Washington Noncompetition Agreement Between Employee and Company

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Multi-State
Control #:
US-OG-208
Format:
Word; 
Rich Text
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Description

A non-compete agreement is a promise by an employee not to compete with his or her employer for a specified time in a particular place. The agreement may cover such actions, among others, as opening a competiting business or using customer information for business leads.

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FAQ

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.

Non-Solicitation of Clients Clauses. Clauses prohibiting the solicitation of a company's clients are legal and enforceable in Washington state. These are usually part of a non-competition clause written into an employment contract.

Non-compete agreements are typically considered enforceable if they: Have reasonable time restrictions (generally less than one year) Are limited to a certain geographic area (specific cities or counties, rather than entire states)

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.

Regardless of income, a non-compete is now void and unenforceable under RCW 49.62 unless the employer gives the employee written notice of the terms of the non-compete before the employee accepts the offer of employment.

You Can Void a Non-Compete by Proving Its Terms Go Too Far or Last Too Long. Whether a non-compete is unenforceable because it covers too large of a geographical area or it lasts too long can depend on many factors. Enforceability can depend on your industry, skills, location, etc.

Non-competition clauses are legal and enforceable in Washington state. Different industries may have their own rules about non-compete clauses and which related actions are acceptable.

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.

A provision in a non-competition agreement signed by a Washington-based employee or independent contractor is void and unenforceable when the agreement requires the worker to adjudicate the agreement outside of Washington and when the agreement denies the worker protections established by the law. See RCW 49.62. 050.

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Washington Noncompetition Agreement Between Employee and Company