Non-Compete Agreements
Non-compete agreements are important documents that you need to understand. If an employer requires an employee to sign a non-compete agreement, understanding some basics about these types of agreements is important. Before getting into such an agreement, each party needs to know what their responsibilities will be. Signing a non-compete agreement may restrict one’s employment options, so you must seriously consider these agreements before signing them.
Understanding Non-Compete Agreements
Non-compete agreements are agreements that employers may require employees to sign. These documents state that the employee agrees not to take a job with the competition after their employment period ends.
A non compete agreement Utah will usually specify a period of time during which the employee agrees not to work with a competitor after leaving the company in question. The main goals of non-compete agreements are to reduce competition for the employer and to prevent trade secrets from being shared with competitors.
While you might be reluctant to sign a non-compete agreement, your offer of employment might be contingent on your signing such a document. Signing a non-compete agreement may be a good idea if you are signing it to take on a good professional opportunity. However, it is important to know exactly what you agree to since you could face a lawsuit or monetary penalty down the road if you violate a non-compete agreement.
Are Non Competes Enforceable in Utah
Non-competes are enforceable in Utah in many situations. A Utah court will usually enforce a non-compete agreement if the employer shows that the agreement was not made after “bad faith” negotiations and that agreement was necessary for the company to protect its interests.
While non-competes typically are enforceable in Utah, courts may decide not to enforce them in a variety of situations. Utah courts will not enforce a non-compete agreement if it is determined to be unreasonable. You can consult with an employment attorney Utah if you wish to determine whether a non-compete agreement you have signed is enforceable.
Strategies To Defeat a Non-Compete Agreement
It is possible to defeat a non-compete agreement in Utah in some cases. One possible strategy for successfully fighting a non-compete agreement in the state would be to demonstrate that the non-compete agreement was drafted solely to stifle competition and not to protect business interests. In Utah, showing that such an agreement protects business interests is a requirement for enforcement.
A non-compete agreement may be defeated if the employee shows that the length of time the agreement involves is unreasonable. In Utah, non-compete agreements are often not enforced more than a year after an employee leaves a company. You can be fairly confident that a non-compete agreement is not going to be enforced in Utah after two years have passed since an employee left a company.
Non-compete agreements typically specify a geographic region. For example, such an agreement in Utah will usually specify that the employee cannot work for a competitor in Utah after leaving the company. However, non-compete agreements that attempt to prevent an employee from taking a job in the same industry elsewhere in the United States or the world will usually not be enforceable over such a large geographic area.
Hiring a Utah Attorney for Non-Compete Agreements Issues
Non-compete agreements may be highly restrictive for you when you are looking for a job, so hiring a Utah employment lawyer to contest them could be a good idea. At Howard, Lewis & Petersen, P.C., we can answer all your questions regarding your non-compete agreement. We can also provide you with legal representation when you want to challenge your non-compete agreement.
