Employee Non-competition Agreements

A Noncompetition Agreement (or Non-Compete Agreement) is a legal agreement or clause in a contract specifying that an employee or other party must not compete with the Company during some specified period (in the case of employees, after their employment has ended) and within some geographic area (often worldwide, but better if it is limited to a smaller region).

Note: Non-competition Agreements (“noncompetes”) are a hotly litigated area with laws varying from state to state. In California, noncompetes are virtually banned, and in Oregon and Washington, the laws regarding noncompetes are fraught with a variety of issues for employers.