Noncompete


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Noncompete

A provision in a number of employment contracts that prohibits an employee from working for a competing firm for a specified number of years after the employee leaves the firm.

Noncompete

Describing a clause in many employment contracts forbidding an employee from working for another firm that competes with the employer for a certain number of years after the termination of the contract. A noncompete clause may have a geographic limit. For example, a dentist who goes to work for corporate dental practice may sign a noncompete clause forbidding him from working for a competing dental practice within 25 miles for five years after the completion of the contract.
References in periodicals archive ?
Noncompete agreements are becoming a standard clause in a number of industries and for a variety of position, she said
Just under half-a-dozen states require that judges completely toss noncompete agreements if any part of it is legally flawed.
While politicians, judges, lawyers, business owners and employees continue to debate whether and under what conditions noncompete agreements should be used or enforced, other forms of noncompetition agreements generally do not suffer such scrutiny.
Recent changes to the financial reporting of acquisitions and combinations may affect how tax practitioners treat these noncompete arrangements, with potentially significant ramifications for both owner and purchaser.
Like most states, (1) Florida does recognize the enforcement of noncompete and nonsolicitation agreements by employers against former employees.
Some courts will routinely enjoin the departing employee from competing with the old employer simply because he or she signed a noncompete, without worrying much about the employer's legitimate interest.
I recently saw a case where a Mar yland employer had a Georgia employee sign a noncompete that had a Maryland choice of law provision but did not meet the requirements of Georgia law.
noncompete agreement was terminated by the Finn sale agreement.
Even those engaged in franchise contracts frequently find themselves compelled to enter into a noncompete agreement with their franchisor.
Kellogg and Sabhlok then signed an amendment to the severance agreement that gave Sabhlok six additional weeks of severance and a bonus in exchange for a broad noncompete clause, but kept all other terms of the original severance agreement in full force and effect.
Before beginning work with IAC, Citrin signed a noncompete agreement that prohibited him from establishing a business that would compete with IAC in real estate.
A noncompete clause, for example, could have been used to ensure that the former partner didn't leave with her clients or open a similar practice in such close proximity.