Miscellaneous

Are there any legal defenses to a non-compete?

Are there any legal defenses to a non-compete?

However, those of us who regularly go to battle over non-compete’s know that – more often than not – there exist good legal and practical defenses to them, and effective ways to negotiate to limit them, or get around them.

What should I know before signing a non-compete agreement?

Before signing a non-compete agreement, learn about the laws regulating non-compete agreements in your state. Then, read the agreement (and the rest of your contract) in full. If possible, consult with an employment lawyer who can tell you whether there are any provisions that are far outside of legal norms in your state.

Is there a way to defeat a non-compete?

Not to fight the matter, but rather to “walk away.” Though their non-compete seemed air tight and insurmountable, we found both (a) a legal defense, and (b) a practical defense, one or both of which surely worked to “Defeat the Non-Compete.”

What happens if you violate a non compete clause?

Like all legal agreements, a non-compete clause is only as meaningful as a court’s willingness to enforce it. If you violate your non-compete clause, your employer can take the matter to court (although not all do so).

What can you do with a non-compete agreement?

Non-compete agreements typically are very broadly drafted, and so if you happen to be a person in the technology field and you’ve signed a non-compete agreement, many of those non-compete agreements are drafted so broadly that you couldn’t go work as a local web developer doing your own internal web design, for no customers.

However, those of us who regularly go to battle over non-compete’s know that – more often than not – there exist good legal and practical defenses to them, and effective ways to negotiate to limit them, or get around them.

When to go to court over a non-compete clause?

Going to court over a non-compete clause is a last resort. If a court rules against you, you will owe your former employer any liquidated damages outlined in the clause. How does a non-compete clause impact my equity? In many cases, non-compete clauses impact your equity and stock options.

Can a non-compete letter be sent to a new employer?

A good non-compete attorney will tell you that it is better to be proactive in these matters rather than making a commitment to a new employer and having a violation of non-compete threat letter be sent to both you and your new employer as you’re trying to start your new employment.