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In Wisconsin, if part of a covenant is held invalid, the rest of the covenant is void. Most states allow the court to edit an illegal covenant into a legal one (commonly the ?blue pencil? test), but Wisconsin follows the ?red pencil? test that strikes the entire covenant if part of it is invalid.
To be enforceable, a covenant not to compete ?must (1) be necessary for the protection of the employer; (2) provide a reasonable time restriction; (3) provide a reasonable territorial limit; (4) not be harsh or oppressive as to the employee; and (5) not be contrary to public policy.? Fields Foundation, Ltd. v.
Every person who works for wages has at least one express contract with his or her employer. By entering into an employment relationship, you agree to perform specified work for your employer. Your employer agrees to pay you for your work.
Wisconsin Limits Non-Compete Agreements So even if you've signed a contract that includes a non-compete agreement, your employer may not be able to enforce it against you in court. But that doesn't stop employers from trying to go beyond what the law allows.
Non-compete agreements are difficult to enforce because Wisconsin law favors individuals earning a living. The Wisconsin state legislature has passed a statute that establishes the requirements for an enforceable non-compete agreement.
Wisconsin law has specific requirements that must be met in order for restrictive covenants to be enforceable. First, the restrictions must be necessary to protect the employer's legitimate business interests. This means that the restriction must be reasonable in scope, duration, and geographic area.
In certain circumstances, it is possible to find non-compete contract loopholes that may void the contract. For example, if you can prove that you never signed the contract, or if you can prove the contract is against the public interest, you may be able to void the agreement.
Four states?California, Minnesota, North Dakota and Oklahoma?have banned noncompete agreements entirely, and many other states have enacted restrictions, such as setting a compensation threshold or requiring advance notice.