I left my job and have a non-compete

Nov 14
19:43

2020

David Steinfeld

David Steinfeld

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Under Florida law, non-competes are a restraint of trade and are strictly construed according to the Statute that controls them. Non-compete agreements must have consideration to support them and must be reasonable in their geographic scope and time limits.

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What makes a noncompete enforceable Noncompetes may also be married with nondisclosure and nonsolicitation agreements. Those also restrict the use of knowledge gained during employment after employment.  But NDAs and nonsolicitation agreements are often broader because they protect proprietary business information. However,I left my job and have a non-compete Articles NDAs and nonsolicitation agreements are not subject to the same limits as noncompetes. This speaks to the basics of a non-compete in Florida.   Consideration for a non-compete can be the job if the contract is signed at the start of the job. Otherwise there should be some other consideration like an increase in pay or a bonus to support the noncompete. 

Whether a noncompete is reasonable in its geographic and time scopes depends on the specific situation and what interests are to be protected.  When I draft a non-competes for my business clients I include explanations for these limitations to guide a judge and enhance the enforceability of the agreement.
What can I do with a noncompete over me If you signed a noncompete and left that job, what you can and cannot do depends on the language in the agreement and the situation.  If you had a written employment agreement and the employer breached that contract, then the non-compete may not be enforceable.  But if there was no employment agreement and you just quit, then the noncompete may be enforceable if it has sufficient independent consideration and its limits are reasonable.  
How do I know if my noncompete limits are reasonable Whether the limits in a noncompete are reasonable is a factual determination for a judge. Certain time limits are deemed reasonable by law. Normally up to two-years is reasonable but nothing is ever guaranteed. Noncompetes over two years are reviewable.  That does not mean a five year noncompete is invalid, it just means there has to be a valid reason to impose such a restriction.

The geographic limits, however, depend on the facts. Without facts in the contract, the employer has to prove the geographic reasonableness by separate evidence. That is why agreements that I write have the agreed facts in the document. Less to prove means more chance the agreement will be enforced as written.
What do I do if I breached my noncompete Noncompete agreements can be suspended when they are violated.  A series of cases in Florida decided that if a party breaches a valid noncompete, then the employer does not get the full benefit of the agreement. Thus, while the noncompete is in breach, the limits are suspended until the breach stops. After that it restarts from that point.
Conclusion What you can and cannot do if you signed a noncompete depends on the terms of the agreement and the particular circumstances. The best defense is a good offense. So consulting with a Board Certified expert in business litigation or labor and employment law before you sign a noncompete or other document that restricts future actions is a smart move.

Likewise, if you are an employer and suspect a former employee is violating a noncompete, NDA, or nonsolicitation agreement, the best first step is to consult with a Board Certified expert.  You need to understand your rights and how the legal system enforces of these agreements. Hopefully you had a good business lawyer draft your agreement. Preparing these on your own to save money only to learn that they are unenforceable is an awful feeling. Finding out that your former employee is free to compete with you armed with knowledge and experience from the job  will never justify the savings of having drafted a noncompete on your own.

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