What is a Non-compete Agreement?

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What is a Non-compete Agreement?


A non-compete agreement is a contract between an employee and an employer in which is signed by an employee that results in them agreeing not to establish a competing business or work for a competitor after a period of time once the employment relationship ends. A noncompete agreement is essentially a contract that is to prevent competition with the employer. It is simple to understand why employers would want employees to sign a contract preventing scenarios such as these, since it limits competition. A big reason as to why these contracts exist is because employees have tight-knit knowledge based on how the business works, which can result in him or her to convince a customer or client into going another direction. In addition, employers create noncompete agreements to protect themselves from former employees disclosing private information about the business. Here is a list of private information that can potentially be disclosed:
  • Clients/customers
  • Methods
  • Pricing
  • Policies
  • Ideas
  • Upcoming projects
  • Marketing tactics
  • Salaries

Noncompete Agreements in Different States

In certain states, such as North Dakota and Oklahoma, noncompete agreements are not allowed to be enforced. As for the state of California, noncompete agreements are not only illegal to enforce, but employers who require employees to sign one can be sued–even if the employer doesn’t force the employee to sign it. It is extremely important that you consult with a non compete agreement lawyer if you have been forced to sign a noncompete agreement and it is illegal in your state. Every state is different; however, in California, which is where our law firm is located, it is absolutely illegal. At Mann & Elias, we have an abundance of experience in fighting on behalf of those who have been a victim of this act. You should never be afraid to speak up, as we are on your side and it never hurts to seek legal advice from a non compete agreement attorney.

Noncompete Agreements Must Be Rational

For states where noncompete agreements are legal, they must still be practical and not result in too many restrictions of an employee. Noncompete agreements essentially limit employees’ future careers and limits future income, therefore, they must still be sensible. Here are three aspects in which are most likely to be enforced to a certain extent in a noncompete agreement:
  • Time
  • Area

Type of competition

Have You Been Asked to Sign a Noncompete Agreement?
If you have been asked to sign a noncompete agreement, it is imperative that you consult with a non compete agreement attorney. By speaking to non compete attorney, you will feel more at ease and you will surely learn your rights. In addition, your lawyer will be able to tell you whether or not the contract is legal and how you should go about dealing with it. Do not hesitate in seeking help from a non compete agreement lawyer, as we are experts in what we do and have been dealing with cases such as these for years. As an employer, you should always know your rights. If you ever have any confusion regarding a noncompete agreement, we can get you the legal help you need.

Contact a Non Compete Agreement Attorney

If you or someone you know is experiencing a difficult time in handling a case like this, it is important to know that a noncompete agreement’s validity varies from state-to-state, therefore, you should never brush any questions, comments, or concerns under the rug. If you feel that a noncompete agreement is too restrictive, then there is potential for a case there as well. In addition, if you feel that a noncompete agreement is unreasonable in any way, then there may be potential for a case there too. No matter what your concerns are, it never hurts to get legal advice from a professional who knows the ins and outs of noncompete agreements. At Mann & Elias, we are always here to help those in need. We are strong advocates on behalf of those who are victimized in some way. No one should ever be taken advantage of, which is why we will stand by your side every step of the way. Feel free to contact us any time to speak to a reputable Los Angeles employment lawyer!
THE LOS ANGELES EMPLOYMENT LAWYER WITH A REPUTATION YOU CAN TRUST