When you take a new job at a different company, you will likely be asked to sign several different documents, one of which may be a non-compete agreement. Employers use non-compete agreements to protect their interests, keeping their employees from working for or becoming one of their competitors. In a few ways, these types of agreements can be used to benefit both the employee and the employer. However, if a dispute over a non-compete issue, you may need additional legal support to successfully resolve the issue.
About Non-Compete Agreements
Non-compete agreements are legally binding contracts drawn up between the employer and employee. The contract asks the employee to agree not to enter into competition with the employer after he or she leaves the company. These agreements can go into effect whether the employee is terminated or leaves their position voluntarily.
Who Benefits from a Non-Compete Agreement?
Usually, non-compete agreements work to protect the interests of the employer. These employment documents are used to safeguard trade secrets and innovations the employee may have been privy to during his or her time working for that company.
Does My Company Need a Non-Compete Agreement?
As an employer, creating a non-compete agreement for your employees to sign could be extremely beneficial. Non-compete agreements can protect sensitive information, prevent your employees from becoming competitors later on, and can also encourage goodwill during and after their employment at your company. However, courts don’t always favor non-compete agreements because they can limit the individual’s earning potential. So, if you establish a non-compete agreement for your employees, it is important that you do so carefully and with extreme attention to detail. It is always best to work with an experienced employment law attorney on this.
Should I Sign a Non-Compete Agreement as an Employee?
Non-compete agreements aren’t always a good idea from the employee’s perspective, as it could limit their employment choices later on. However, it could still be a good idea to sign the non-compete agreement if the employee is passionate about the job they’d be taking and if the agreement offers additional benefits. Legally speaking, the employer must offer adequate benefits in order for the employee to see the benefit in signing the non-compete agreement. For new employees might be offered the benefit of joining their employment if they sign the agreement, whereas existing employees who are asked to sign might need actual compensation in some other capacity, such as a promotion.
Whether you have been asked to sign a non-compete agreement, you wish to establish a non-compete agreement for your employees, or you are dealing with a non-compete agreement dispute, our firm can help. We handle employment law cases for both the defendants and plaintiffs, which gives us a unique and advantageous perspective. We have the legal knowledge and skills necessary to establish binding agreements and to deal with any disputes that may arise. To protect your business interests, contact our knowledgeable employment law attorneys in Dallas.
Contact Deans & Lyons, LLPto get started on your employment law case today.