Blog Posts tagged with Non Compete Agreements

Non-Compete Agreements - Should Small Businesses Keep Using Them?

July 18, 2018

Non-compete agreements are commonplace in the marketplace. These are contracts in which one party (usually an employee) agrees not to engage in certain acts in competition against another party (usually the employer), within a limited geographic area. The logic behind these agreements recognize that during the course of employment, employees form business relationships with their employer’s clients and customers, and employees also learn about their employer’s confidential information and trade secrets.  Employers correctly have an interest in preventing the distribution of their confidential information to competitors as well as an interest in retaining their customers.  To this end, non-compete agreements are beneficial in that they encourage employers to invest in human capital while providing some assurance that an employee will not poach trade secrets or other confidential information with the intention of subsequently working in the same or similar job position for a close competitor.  

Subscribe to the Blog



Simply Engaged Authors

Follow Us