A Business-Minded Approach To Employment Law

How Enforceable Are Non-Compete Clauses?

On Behalf of | May 22, 2019 | Uncategorized |

Non-compete agreements play an essential role in a commercial enterprise by limiting a former employee from using information gained from a former employer to gain an unfair advantage in the workplace. As an important part of employment law, non-compete agreements are designed to protect a business’ interests on many different levels. Many companies require a non-compete to minimize the possible competition between a former employer and their old company. While competition is healthy in most cases, using trade secrets gained during a person’s employment can cause substantial financial harm to their prior employer.

The Purpose of a Non-Compete Agreement

The purpose of a non-compete agreement is to limit or restrict a person’s ability to create competition between themselves and a former employer. While this may seem trivial to many, competition can be fierce and in some cases, financially devastating. This is especially true if a former employee takes on their old company and uses information gained from that company to increase the competition.

Employment Law Varies by State

The laws concerning non-compete agreements vary from state to state. While some types of competition are healthy and required for businesses to remain lucrative, there are protectable interests that make it easier to enforce a non-compete agreement. The use of trade secrets or proprietary information can cause devastating repercussions. If a former employee takes these types of information and uses it to gain an advantage against their former employer, the non-compete agreement can prove to be an important tool when it comes to being compensated for any damage that may have been caused.

When You Need an Employment Attorney

An employment attorney is your best bet when it comes to enforcing a non-compete agreement. You must have a solid burden of proof that the person who signed the non-compete willfully and boldly violated in an attempt to achieve financial gain. An employment attorney can identify possible restrictions and limitations that may have been violated, as well as estimate the extent of the financial loss experienced by the original company.

If you work with non-compete agreements and are trying to protect your business from employees who may try to use your business information or trade secrets against you, hiring an employment attorney is an option you shouldn’t overlook. They have the resources and knowledge to be able to prove whether or not the agreement in question has been violated. They can also determine whether or not the extents of general competition have been breached. If so, they can take the necessary steps to help you gain the compensation you deserve and protect the interests of your business.