What Is A Covenant Not To Compete In Pennsylvania?

In Pennsylvania, a covenant not to compete generally requires that, upon leaving the company, an employee agrees not to be employed by their employer's competitors. A covenant not to compete may also be called a "non-compete clause". An employee who signs a covenant not to compete may receive compensation for the agreement, or in some cases the agreement is a condition for their being hired.

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When are Covenants not to Compete Unenforceable?

Whether a given judge will enforce a non-compete agreement is difficult to know in advance. While employer's interest are significant, the courts of Pennsylvania 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. Some agreements that courts have considered to be unreasonable include terms that last for an unusually long period of time or that cover a geographic around Reading that is unreasonably broad.

The agreements must also deal only with those competitors whose line of employment is rationally related to the previous employer's. Finally, the covenant not to compete must have a legitimate business purpose which is behind the employer's motivation for requiring the agreement.

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

You may want to hire a Reading, Pennsylvania lawyer to review the covenant before signing any agreements that may limit or restrict your rights. The lawyer will then be able to negotiate any modifications to the contract as needed, or they can even draft a new one should it be required by one or both parties. An attorney can also give valuable advice when it comes to suing employees for breaching covenants, or counseling employees who have signed one about whether they can accept a different job.

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Life in Reading

Reading is located in southeast Pennsylvania.  Specifically it is in Berks County.  Per the 2010 census, it has a population of 88,082 people.  Similarly populated cities include Pittsburgh, Allentown, and Erie.

A very popular spot for visitors is the Reading Public Museum. The reason why this is such a popular attraction is because it is an art, science and history museum in one!  Therefore, visitors can escape into many worlds by visiting this one site.  Another popular site is the Reading Pagoda, which is located on top of Mount Penn.  The view from this area is supposedly breathtaking.

Top employers include Boscov's, Wal-Mart, Carpenter Technology Corporation, Berks County, East Penn Manufacturing Co., The Reading Hospital and Medical Center, St. Joseph Medical Center, and Reading School District.  Reading is also home to many attorneys who practice law in various areas.  These attorneys provide excellent legal guidance to employers, small businesses and local residents. 

Overall, Reading is a charming place to visit and wonderful place to call home. 

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Top Rated Lawyers

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Samuel D. BERKS, PA

Employment and Labor Law

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Harry F. PHILADELPHIA, PA

Family Law

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Joel D. ALLEGHENY, PA

Family Law

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David A.

Business - Litigation

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Employment and Labor Law cases posted in Reading as mapped below.

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