Employers and employees enter into non-competition agreements to prevent employees from working for competitors after they leave the company. Non-competition agreements are also known as non-compete clauses. In North Carolina, enforcing these agreements can be complex and requires the assistance of a Charlotte non-competition agreement attorney. Here’s what both employers and employees need to know about non-competition agreements in North Carolina.
What is a Non-Competition Agreement?
When employees leave their company, they usually are subject to non-competition agreements that prevent them from going to work for their competitors after leaving the company, which prevents them from working for a competitor after leaving the company. These agreements are intended to protect the employer’s trade secrets, confidential information, and customer relationships.
Enforcing Non-Competition Agreements in North Carolina
North Carolina has specific laws that govern the enforceability of non-competition agreements. These laws require that non-competition agreements be reasonable in terms of the scope of the restriction and the duration of the restriction. In addition, the agreement must protect the employer’s legitimate business interests and cannot place an undue burden on the employee’s ability to earn a living.
Challenging Non-Competition Agreements
Employees who are subject to non-competition agreements may have legal options for challenging these agreements. A Charlotte non-competition agreement attorney can review the terms of the agreement and determine whether it is enforceable. In some cases, the attorney may be able to negotiate a less restrictive agreement or seek to have the agreement declared unenforceable.
Protecting Employer’s Interests
Employers who wish to protect their business interests through non-competition agreements should work with a Charlotte non-competition agreement attorney to draft agreements that are reasonable and enforceable. This may involve tailoring the agreement to the specific employee and job position, limiting the duration and geographic scope of the agreement, and ensuring that the agreement is supported by valid consideration.
Consult with a Charlotte Non-Competition Agreement Attorney
Non-competition agreements can have significant impacts on both employers and employees. Employers should work with experienced Charlotte non-competition agreement attorneys to ensure that their agreements are enforceable and protect their business minishortner interests.
Employees who are subject to non-competition agreements should consult with a Charlotte non-competition agreement attorney to determine their legal options and protect their ability to earn a living.