Typically, a covenant not to compete is when an Idaho employee agrees not to work for an employer's competitors when the employee leaves the company. Covenants not to compete are also known as "non-compete clauses". Compensation might be paid for employees who sign the covenant, or at times the employment might be conditioned upon such an agreement.

When are Covenants not to Compete Unenforceable?

It is difficult to know whether a judge will enforce a given non-compete agreement. Even though the interests of an employer are significant, Idaho courts value a person's freedom to select the type of employment that they desire. Thus, courts will typically uphold only those covenants not to compete that they conclude to be reasonable. Covenants not to compete that a court will categorize as unreasonable include agreements that last for a long duration or that restrict the employee to an unreasonable geographic area around Shelley.

Covenants must also be limited to restricting dealings with those competitors that are reasonably related to the employer's industry. Finally, the employer needs to have an acceptable business purpose which justifies their motives in requiring their employee to sign a covenant not to compete.

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

Before you sign any agreements that could restrict your rights, you may consider hiring a Shelley, Idaho attorney who can review the covenant. The attorney can negotiate modifications to the contract if they are needed, and can draft a new clause which is acceptable to the parties involved. An attorney can also give valuable advice when it comes to suing employees for breaching covenants, or counseling employees who have signed one regarding whether they can accept a different job.