Is It Possible To Get Out Of A Non Compete Agreement
Many contracts contain a provision called a “non-compete clause” or “restrictive agreement.” You may have embellished it when you started your work, but if you decide it`s time to look for another gig, a non-competition can limit your options. Under the agreement you have signed, you cannot go to work for competing companies when you leave your job. You`re stuck, aren`t you? The non-competition clause must be limited to its scope. This often refers to the geographical area of the restriction. An appropriate restriction may prohibit an employee from competing within miles, depending on the size and density of the population. An inappropriate (and therefore unenforceable) clause could prevent the employee from competing in the state as a whole. For example, a non-competition clause signed in Chicago, which limits competition to less than 5 miles, may be unacceptable, while the same scope could be considered acceptable in a more rural area. That depends. A first look at the terms of the non-compete clause itself.
Is this about resigning? Assuming he does – and says the competition is still valid, even if you are terminated — the question is: Is it legal? Here, too, the answer is this: that`s what counts. If the reason for your dismissal is an employer`s fault – discrimination, illegal employer activity or similar misconduct – most courts have ruled that a non-competition clause is no longer applicable. This is because the employer`s unlawful conduct was not part of the worker`s expectation when he accepted the non-competition clause. If the reason for your dismissal is an employee error – presence, poor performance or similar problems – then the fact that you have been fired probably will not be so important. However, the courts may be less willing to apply a non-compete agreement if it is the employer that has decided to end this relationship, not yours. The courts are very reluctant to impose a non-compete clause so broad that it prevents an employee from working. In addition, there are courts that have relied on state constitutions to limit the ability of employers to prevent a worker from working. Unless you understand the agreement you need to sign; They have every right to read them carefully or to let a lawyer take a look at them. Never be discouraged by a non-compete agreement that prevents you from pursuing another job and remember why it may not apply.