Can My Current Employer Enforce a Non-Compete Agreement I Signed?

Did you sign a non-compete agreement when you began working for your current employer or at any time during the course of your employment? If you did, and you are now considering a new job with another employer that is like your current work, you may be concerned about whether or not your employer can enforce the non-compete agreement against you. In general, Florida law does permit non-compete agreements to be enforced, but they must be reasonable and must be supported by a legitimate business interest. Otherwise, the agreement is not likely to be enforceable.

The best way to determine the likely enforceability of a non-compete agreement is to have a Florida employment law attorney review it, and an attorney at our firm can assist you. In the meantime, our Palm Beach Gardens non-compete agreement lawyers can explain more about the enforceability of a non-compete agreement.

Must Be Reasonable to Be Enforceable 

The Florida Statutes are clear that any restrictive covenant, including a non-compete agreement, must be “reasonable in time, area, and line of business.” What makes something reasonable in terms of the time limit, area, and line of business? While the statute does not specify these precise limits, an enforceable non-compete agreement must limit the amount of time and geographic area in which the former employee cannot engage in competition.

A non-compete agreement of one or two years is likely to be enforceable, for example, while a non-compete agreement that restricts a former employee’s ability to compete for 20 years is not likely to be enforceable. What about a geographic restriction? In general, the narrower the geographic restriction, the more likely the agreement is enforceable. An agreement that restricts the former employee from competing with the employer’s business in Palm Beach Gardens and throughout Palm Beach County is likely to be enforceable, whereas a restriction that limits competition throughout the country is not likely to be enforced.

Must Be in Writing and Signed 

In addition, for a non-compete agreement to be enforceable, it must be in writing, and it must be signed by the former employee against whom it would be enforced.

Necessary to Protect Legitimate Business Interest 

In addition, for a non-compete agreement to be enforced against you, the employer must be able to show that “the specified restraint” (meaning the time period, area, and line of business restrictions against competition) “is reasonably necessary to protect the legitimate business interest” of the employer.

The Florida Statutes list a number of examples of a “legitimate business interest,” including but not limited to trade secrets, valuable business information, and substantial relationships with existing customers or clients. Additional examples can be found in Section 542.335(1)(b) of the Florida Statutes.

Contact Our Palm Beach Gardens Non-Compete Agreements Lawyer 

If you have any questions about the enforceability of non-compete agreements or other restrictive covenants, you should get in touch with one of the experienced Palm Beach Gardens non-compete agreements attorneys at Sconzo Law Office as soon as possible. We can review any restrictive covenants for you prior to signing, and we can discuss the enforceability of any non-compete agreements or other restrictive covenants that you have agreed to in a separate agreement or within an employment contract. Contact us today to find out more.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0500-0599/0542/Sections/0542.335.html