If you’re an employee seeking a fresh start with another company or an employer making sure an ex-employee can’t join a competitor, you may need to look into a non-compete agreement. Above all, you should make sure you understand the finer details of such an agreement, which can be difficult if you don’t have prior experience dealing with non-competes or other similar documents. A Denton non-compete agreement lawyer can assist in determining what you need.
A non-compete agreement is a legally binding contract between an employee and their employer that prevents the employee from seeking employment with a competitor after leaving their employer. It may also prevent the employee from starting a business of their own that’s similar to the work their employer does. It may not be eternally enforceable and may have a specific end date. They can also be called non-competition agreements and restrictive covenants.
In Texas, non-compete agreements can only be enforced if they meet certain criteria to ensure that the agreement is not unfair to the employee and employer alike. Under Texas state law, a non-compete agreement is only enforceable if it is part of a separate agreement that’s wholly enforceable on its own, contains reasonable limits regarding time, geographical location, or scope of activity, or is done to protect an employer’s legitimate business interests.
Additionally, a Texas non-compete agreement must be exchanged for something useful to the employee, such as additional job training or confidential information. If you are concerned that your employer’s non-compete agreement may be unfair to you, you should seriously consider reaching out to an experienced non-compete agreement lawyer who can help you decide your next steps and work out a plan that benefits you.
It may be safe to say that unless you are in the business of drafting business agreements or writing employment contracts, you may not be entirely certain of all the ways signing a non-compete agreement may affect you in the long run. Depending on the agreement, you may be closing yourself off from future opportunities and not even be aware of it. You may have been led to believe that signing your non-compete is non-negotiable, but that may not be the case.
A good lawyer can go over your agreement and point out any details that could hurt you somewhere down the line. More than anything, you want to be totally certain that you aren’t being taken advantage of. The most effective way to accomplish this is by having an experienced non-compete agreement lawyer look over your agreement and negotiate on your behalf. Here are some of the many ways that a non-compete agreement lawyer could assist you:
If you have willingly signed a non-compete agreement in Texas, it is legally binding. If you then violate that agreement for whatever reason, your employer has enough cause to take considerable legal action against you. Violating a non-compete agreement could severely hurt your career opportunities, impact your professional reputation, and cause you to incur severe legal penalties you may not have ever considered.
The specific consequences you might face for breaking a non-compete agreement depend entirely on the details of the agreement you have broken and the circumstances of your case. Your employer may be able to seek an injunction to prevent you from working with the competitor in question. They may also seek financial compensation for the losses they have suffered from your alleged violation.
When it comes to non-compete agreements, it may be wise to err on the side of caution and consult with an experienced employment lawyer any time you are faced with a business decision you may not fully understand. As for employers, if your employee appears to be violating a non-compete agreement, you should consider consulting with a legal professional so you can fully understand your options in pursuing an injunction.
The legal team at Alagood Cartwright Burke PC can assist you whether you are an employee seeking to understand your options or an employer seeking to hold certain employees accountable for violating their agreements. We can help you develop your case, gather evidence that supports your claim, and work hard to ensure no one tries to take advantage of your position. Contact us to speak to a valued team member about your case and how we can help.