Some employees who are being let go from a job will be asked to sign a severance agreement, which is a contract that extends certain pay and benefits after employment ends. In exchange for those benefits, the employee might be asked to give up certain rights. Before...
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Noncompetition agreement contracts and disputes
Did a company offer something of value for signing a noncompete?
Contracts must be fair and balanced for them to be legally valid and enforceable. Especially in scenarios where one party must make substantial concessions when signing a contract, the other party must also make concessions or provide something of value. That standard...
Have non-compete agreements been banned or not?
Employees in Texas may have heard that noncompete agreements were banned by the Federal Trade Commission (FTC). A noncompete agreement typically says that an employee who signs the document cannot directly work for the competition in the same geographical area or...
Must entrepreneurs relocate to avoid noncompete enforcement?
Many of the most successful and best-compensated professionals have to sign very thorough employment contracts. They negotiate terms in advance that govern everything from severance packages to performance-related bonuses. Frequently, white-collar professionals,...
Can your employer enforce a noncompete in another state?
A noncompete agreement can feel like a chain that follows you long after you leave a job. But crossing a state border does not automatically make that chain disappear. Every state takes a different approach to noncompete enforcement. That means the rules you agreed to...
How long does a noncompete restrict economic activity?
Professionals often have to sign noncompete agreements when accepting new positions or promotions. Employers want to protect their organization from unfair competition. They require that workers sign contracts with terms that limit their ability to start a competing...
When employers don’t compensate when demanding a noncompete
Covenants not to compete, or non-compete agreements, have become common employment contract inclusions. Businesses across Texas may require that employees sign non-compete agreements to protect the company. These restrictive covenants prevent people from accepting...
What happens if you violate a non-compete agreement?
A non-compete agreement is intended to prevent an employee from working for a competitor or starting a similar business for a certain period or within a specific geographical area after leaving a company. They are common in industries where intellectual property,...
Overly broad non-competes may not be enforceable
Employees often rush through the onboarding process. They don't evaluate the contract very carefully, other than to potentially verify terms related to compensation and benefits. Details such as the terms of a restrictive covenant may seem unimportant to a...
When a former employer sends a cease and desist letter
Professionals in many different industries sign complex employment contracts. Executives, salespeople, managers and even medical doctors often accept employment opportunities that come with restrictions. Restrictive covenants are common in modern employment...
