Restrictive agreements and non-compete obligations (sometimes referred to as post-termination restrictions) are clauses in an employment contract or settlement agreement that prevent an outgoing employee from taking over key clients or employees from their former employer or working for a competitor. An employer can only protect a legitimate business interest and restrictions must be narrowly defined to be appropriate. EZ adopted the procedure and argued that Ms Tillman`s activity on behalf of a competitor would breach her non-compete obligation. Because of the way the law works, the words “non-solicitation”, “non-negotiation” and other terms mentioned above do not even need to be used in the non-compete obligation. An agreement that contains the negative commitments should make it clear what interests it is trying to protect. In order to draft non-compete obligations that are both comprehensive and enforceable, lawyers and employers are often tempted to include as many names as possible to cover any variation of what an outgoing employee is not allowed to do after leaving. To get out of a non-compete obligation, first get a copy of the agreement you signed to make sure it is binding. For example, if it has never been signed by you and a representative of the company, a court will not apply it. Don`t just read the scope of the agreement carefully to see exactly what it entails, as the language is often vague or misleading. For example, if the agreement prohibits you from working for another company that uses “the same or similar technology,” the agreement will not cover a new job that uses a different technology.

If you can`t find your initial agreement, or everything seems binding, check your state`s laws, as many regions, such as California, no longer allow no-compete obligations. For more advice from our legal co-author, including how to go to court for your non-compete clause, read on! It is very difficult for your employer to claim that a verbal agreement contains a restriction on who you can work for. These limitations must be precise and specific, so it is unlikely that you will need to follow one that is not written. If you have restrictive agreements in your contract, your options may be severely limited after termination. This could make you unable to work with a new employer for the period specified in the agreement. This is usually for a period of 3-6 months. The Court of Appeal concluded that the restriction of competition was too broad. Therefore, the entire clause was void. When you were hired, you may have been asked to sign a non-compete agreement. This agreement prohibits you from working with competing companies in the same sector after leaving your current employer for a certain period of time and in a specific geographical area.

[1] X Trusted Source Workplace Equity The nonprofit focuses on educating the public and advocating on labour and labour law issues Going to the source When you signed the agreement, you may not have given it much thought. .