Does the agreement prevent you from doing a very different job than you did? 16. All of us here at work have non-compete obligations, but the company has never enforced them when someone leaves. Does that mean I can just ignore it? 9. Does my employer have to pay me extra money in exchange for a non-compete obligation? In 2018, non-compete obligations cover 18% of workers in the United States, which equates to a 38% decrease in workers. [When?] While higher-wage workers are more common, non-competitors covered 14% of workers without a university degree in 2018.  In March 2019, the U.S. Federal Trade Commission was under pressure from politicians, unions, and interest groups to ban non-compete clauses. One petition estimated that “one in five American workers – about 30 million – is bound by such an agreement.”  No. However, if you don`t agree to a no-compete clause, it can cost your potential job (or your current job if your current employer now wants you to sign an agreement that didn`t previously apply to your job). If the employer is not willing to abandon the agreement or change the form or content to suit you better, you may not be hired or you may be fired if you are already employed. For example, in Florida, the law supports non-compete obligations, so the facts of your situation and the state in which you live determine where the agreement is enforced against you. Non-compete obligations should be designed to take into account the interests of both the employer and the employee.
However, an overly broad NQF can prevent an employee from working elsewhere. Originally, English customary law held such a restriction to be inapplicable under the doctrine of public policy.  Current case law provides for exceptions, but generally applies ACSs only to the extent necessary to protect the employer. Most jurisdictions in which such contracts have been reviewed by the courts have held that NQFs are legally binding as long as the clause contains reasonable restrictions on the geographical area and the period during which an employee of a company is not allowed to compete.  Non-compete obligations in the State of Colorado are generally void, unless they fall under a few selected exceptions.  These exceptions include “(a) any contract for the purchase and sale of a corporation or the assets of a business; (b) contracts for the protection of trade secrets; (c) any contractual provision providing for the recovery of the training costs of a worker who has served an employer for less than two years; and (d) managers and managers, as well as officers and employees who are specialists in managerial and managerial personnel.  At the time the law came into force, Colorado`s approach to regulating non-compete rules was a unique approach.  23.
Is there another way to find out if the agreement is enforceable? it is likely that the employer shared trade secrets with the employee that could have a significant impact on the employer if used by a competitor. Your employer can also claim “lump sum damages” if these are provided for in the non-compete obligation. Lump sum compensation is a fixed amount that both the employer and the employee agree to as damages if the employee violates the obligation not to participate in contests. However, not all lump sum damages are legally enforceable. Again, it depends on the facts of each case and the law of each state. As early as the Dyer case in 1414, English common law decided not to apply non-compete obligations because of their nature as trade restrictions.  This prohibition remained unchanged until 1621, when it became clear that a restriction limited to a specific geographical location was an enforceable exception to the previously absolute rule […].