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Importance of non-competitive clauses in employment contracts

On Behalf of | Aug 12, 2015 | Employment Contracts |

Many employees in the United States, including many in Michigan, are required to sign a non-competitive agreement at their place of business. The non-competition clauses, based on time and geography, impose certain conditions on an employee. For example, a non-competition clause may forbid an employee from working for a competitor within 100 miles of the current company’s zip code for a year after resigning. Such an employment contract benefits the employer but not the employee. For the employee, that can be restrictive and it can be an obstacle in the way of career growth and progress.

Any employee who is compelled to sign a restrictive non-competition clause may want to get more information about potential legal options. At our law firm we have years of experience handling cases and issues involving employment contracts.

If a person feels that the non-competition agreement that was signed was unreasonable, we attempt to make the effort to help make the employment contract acceptable. For example, an employee who is working with an automobile company may find it quite restrictive to sign an employment contract that prevents the person from working in the automotive industry in Detroit. The non-competition clause needs to specify the companies for which that person cannot work.

If a person feels trapped in the present company, that person may want to review the employment contract. With the right approach an employee may be able to progress to the next position after all, a position that will be good for that person’s career.


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