Does your business really need non-compete agreements?

On Behalf of | Feb 26, 2018 | Blog, Firm News |

There are various things you can do to protect your Florida business, including ensuring you have the appropriate legal protections in place. One of the ways you can do this is by leveraging the benefits of business contracts, which you can use to protect and preserve important information about your company.

Some businesses may find it beneficial to use non-compete agreements to keep their information where it belongs, especially after an employee leaves the company. This can help you protect your proprietary information and competitive advantage, and you can include non-compete provisions in your employment contracts. If you believe you could benefit from this form of legal protection, you may find it beneficial to seek an understanding of how you can get started.

Making sure your non-compete agreements work

Many employers use this type of contract when they hire new employees. These agreements will not go into effect until after the employee leaves the company, preventing that person from immediately working for a close competitor or taking, using or selling private information about your business.

Non-compete agreements are often the center of hotly contested disputes between former employees and employers. It is important to assume that your non-compete could come under scrutiny at some point in the future and intentionally work to avoid complications. As you draft these agreements, it can be helpful to ensure that do the following:

  • You should make sure that the other party has adequate time to consider the terms of the agreement and understand the provisions before signing.
  • The agreement cannot unfairly restrict the employee’s right to earn a living after leaving your company and should include reasonable limits on the duration, scope and geographical range of the contract.
  • It must be clear that your non-compete agreements protect legitimate, important business-related concerns.

If these agreements are unfair or confusing, they may not stand up in court. Business owners often find it beneficial to seek professional guidance when drafting these important legal contracts.

Contract help for your business

Contracts are a tool that could be greatly beneficial for your business. If you can effectively leverage the benefits of a contract, this can give you peace of mind about the protection of your business interests.

When you seek a complete evaluation of your case, you can understand more about non-compete agreements and other types of business contracts that could help ensure the long-term success of your small business.

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