The topic this week is about non-compete agreements and restrictive covenants. What they are, why they’re important, and generally how they work in the law.
So, what is a non-compete agreement? Namely, a non compete is a restrictive covenant between (typically) an employer and employee. The agreement puts restrictions on what the employee can do once no longer employed by the employer. Furthermore, non-competes are not only in place for employees and employers. That is just the primary context I will be discussing. In fact, non-competes can come up in other situations such as business sales or a merger. Non-competes protect the trade secrets, intellectual property, and proprietary information of the employer. For instance, if an employee went and took this information to another company it could damage the overall business of the employer.
Though not all non-competes are created equal and not all of them are enforceable. In fact, it is very dependent upon your state and jurisdiction when it comes to the enforceability of a non-compete.
In sum, tune into All Up In Yo’ Business to find out more about non-compete agreements and other restrictive covenants. Be sure to subscribe to our YouTube channel for more All Up In Yo’ Business! Contact us today if you need help with your non-completes.
Want more information about agreements? Check out: Independent Contractor Agreements