What Is A Covenant Not To Compete In North Carolina?

Generally speaking, in North Carolina, a covenant not to compete means that the employee will agree not to work for any of their employer's competitors upon leaving the company. Such agreements are also known by the term "non-compete clauses". Employees who sign them may either receive compensation or simply be required to agree as a condition for their employment.

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When are Covenants not to Compete Unenforceable?

Knowing in advance whether a judge will enforce an employee's non-compete clause can be difficult. While employer's interest are significant, the courts of North Carolina also put a high level of importance on a person's ability to pursue their desired employment opportunities. Consequently, a court will generally only uphold non-compete clauses which under the circumstances are considered to be reasonable. Terms contained in a covenant not to compete will be struck down by a court as unreasonable if they bind the employee for an excessively long period of time or if they cover an unreasonably large geographic area around Gastonia.

Covenants must also be limited to restricting dealings with those competitors that are rationally related to the employer?s industry. Lastly, there must be a legitimate business interest which motivates the employer's mandating a covenant not to compete.

Do I Need an Attorney when Dealing with a Covenant not to Compete?

A Gastonia, North Carolina lawyer can help you review the covenant before you sign any documents that might limit your rights. The lawyer can assist you in negotiating modifications or if needed, they can possibly draft a new agreement which will be acceptable to both parties. A lawyer can also render useful advice for employers who are considering suing an employee for breach of covenant, or they can counsel employees who have signed such an agreement.

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Life in Gastonia

Gastonia is home to around 70,000 people and is North Carolina's thirteenth largest city. 

Some major employers which have helped boost Gastonia's economy include Freightliner LLC, Danaher Tool Group, Curtiss-Wright Controls Engineered Systems and Radici Group, and Advance Auto Parts.  The legal industry also has a presence due to the many small law firms and law offices, where competent attorneys devote their day to providing excellent legal services.

Some famous past residents include many NBA players, such as James Worthy, Darrell Armstrong, Eric Floyd, and Hassan Whiteside.  Other famous residents have included Evan Karagias, Clyde Caldwell, Thomas Sowell, and Gilly James.

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