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Disputes related to non-competition agreements

A non-competition agreement is a contract or clause in your contract that prohibits you from starting a business or profession that is a direct competitor of your current employer. Several companies ask their employees to sign these agreements in an attempt to protect their business and clients in case they are poached. A non-competition agreement usually keeps the company secrets safe, making sure they are not used against the company. These contracts are not appreciated by some courts because they could stand in the way of someone earning an honest living.

Breach of non-competition agreements can lead to heavily scrutinized cases and legal battles. If the employee decides to leave the organization and start a business to compete with their ex-employer, they have to break the agreement. There are some ways to get around the agreement, but they involve getting permission from the employer and informing them beforehand. The court has the power to nullify the agreement in case the judge believes that the business interests being protected are not important enough.

Non-competition agreements are only valid if the employee had complete knowledge of what they were signing. It is the employer’s duty to explain the contract, so that the employee can consider all options before signing.

If one of your employees has breached the non-competition clause in their contract, it is advisable to discuss the situation with an experienced attorney. The attorney will address the legal matter while making sure your reputation and prestige are not marred by the proceedings.

Tue Aug 28, 5:58pm

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