What To Know About Non Compete Agreements

What To Know About Non Compete Agreements

Non compete agreements are often used by businesses to safeguard their interests and maintain a competitive edge. These agreements set boundaries on what an employee can do after leaving a company, usually restricting them from working for direct competitors or starting a similar business within a certain time frame and geographic area. While they can provide valuable protection for employers, they must be carefully drafted to hold up in court. Because the laws governing these agreements vary by state, it is important for both employers and employees to understand their rights. For those who need guidance on these matters, working with a Maryland business lawyer can make a significant difference.

How Non Compete Agreements Work

A non compete agreement typically outlines restrictions on future employment. This might include a prohibition on working for competitors, soliciting clients, or using proprietary information gained during employment. Courts often look at the scope of the agreement to decide whether it is reasonable. If the terms are too broad in terms of time, geography, or type of work restricted, a court may find the agreement unenforceable.

Balancing Business Protection With Employee Rights

Employers want to safeguard trade secrets and customer relationships, but employees also need the ability to find new opportunities. That balance is why courts closely examine these contracts. The enforceability often depends on whether the agreement is narrowly tailored to protect legitimate business interests without being overly restrictive on an individual’s career options.

Why Drafting Matters

A well-written non-compete agreement is less likely to be challenged in court. In our practice, we have seen that many disputes arise when an agreement is drafted quickly without considering the specific needs of the business or the applicable state laws. That is why we carefully examine the details of each case, whether we are preparing agreements for employers or evaluating contracts for employees.

How We Help Clients With These Agreements

At our firm, we frequently assist businesses in creating enforceable agreements that protect their core operations without overreaching. We also work with employees who need to know what restrictions they may face after leaving a position. Because non compete agreements can affect both business strategies and individual career choices, we take care to provide clear guidance. Additionally, we represent clients in litigation when a dispute arises, whether that involves defending an employer’s contract or challenging an agreement that unfairly limits a worker’s future.

Clear Guidance For Moving Forward

Non compete agreements can provide strong protection, but they only work when they are properly written and fairly applied. At our firm, we focus on tailoring agreements to meet the unique needs of each client, whether that means protecting sensitive business information or helping an employee move forward without unnecessary restrictions. We also bring substantial litigation experience, which allows us to handle disputes when agreements are challenged in court. If you have questions about a current or potential agreement, Brown Kiely LLP can provide the legal support you need. Contact us today to discuss your situation and learn how we can help.