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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Employment Law
Satisfied Customers: 116715
Experience:  20+ Years of Employment Law Experience
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how binding is a non compete agreement and how do you get out

Resolved Question:

how binding is a non compete agreement and how do you get out of it .if company is not doing with u sign on for
Submitted: 8 years ago.
Category: Employment Law
Expert:  Law Educator, Esq. replied 8 years ago.
Non-compete agreements are binding in almost every state, except California where they are prohibited in most cases. If you have an employment contract that contains a non-compete clause and the employer is breaching its employment contract with you, then you would have to provide the company with notice that it is in breach and give them a reasonable time to cure the breach. The breach must be a material breach, meaning one that without which you would not have entered into the contract. If the company fails to cure the breach, then you would have an argument that their breach and failure to cure invalidated the contract and/or gave you a right to rescind the contract, thus, invalidating the non-compete clause.

Non-compete clauses, to be upheld, must also be reasonable in the scope of employment, geographic scope and time frame. Scope of employment means they cannot restrict you to all employment, but employment only in the area which you performed for them. Geographic scope depends upon the nature of that employer's business or industry, meaning that if the employer is a global competitor they may have grounds to restrict you in geographic areas where they actually compete and those areas may be a bit broader. As far as time frame, to be valid the non-compete must restrict only for a reasonable time and generally the courts have held that no more than 2 years is reasonable in most cases. When these agreements are found to be reasonable, they are generally upheld by the courts, although some courts may modify parts of the agreement that are not reasonable, while some courts may invalidate the whole agreement if there is a part that is unreasonable.

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Customer: replied 8 years ago.

thank you for what u have said so far.but unless u know all the details of this contract.i dont feel u can give me a correct answer.i am will ing to pay for this service but i would like to talk to you and give u more details.i was manager for a poker co,that deals cards in local bars,the company is being sued and said they could no longer pay me what we agreed to.this was 3 weeks after i signed.they did agree to pay me a little not even half of what i was making and i said ok for now.however i cant work for this small amt. i have been in charge of 25 bars .and dealers .most of which i went out and got not the company.they are based on the east coast and im on the west.theres still more to this and i would really like to talk to u and send u this contract. i tried to get an app with a busniss att, in my area but had not received responece to any of my calls.i am planing to give me notice on mon.i would like to start the same busniss here ,with much better service to my bars and players as i am right here to take care of them.not clear across the state

Expert:  Law Educator, Esq. replied 8 years ago.
Unfortunately, the only means we have for contact is through posting the information in here pursuant to the JA Terms of Service.

I will tell you that if they were not paying you pursuant to the contract you had with them, then the chances of invalidating your non-compete agreement are high, since they breached their contract with you. You do not need a business attorney, you need an employment law attorney and the best place to find one to meet with in person is the same site used by attorneys: DANGEROUS URL REMOVED

All of the other information I have provided you above is correct still. You will need to show their breach of the contract to invalidate the non-compete, if not the other grounds for non-competes I provided would apply.

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