In general, covenants not to compete involve an employee in the state of Missouri who agrees not to work for competitors of their employer when they leave the company. Such covenants are frequently called "non-compete" clauses". Compensation may be paid for employees who sign the covenant, or at times the employment may be conditioned upon such an agreement.
When are Covenants not to Compete Unenforceable?
Foreseeing whether or not a judge will uphold a covenant not to compete is typically difficult. Although the interests of employers are important, courts in Missouri also give priority to an employee's freedom to choose the type of employment that they desire. As a result, courts usually uphold only those covenants that are consider to be reasonable according to the circumstances. Those provisions that courts have seen to be unreasonable include those that last for an prolonged period of time or cover geographic areas around Chillicothe that are unreasonably large.
The agreements must also deal only with those competitors whose line of employment is rationally related to the previous employer's. 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?
Before signing anything that may restrict your rights, you may want to hire a Chillicothe, Missouri attorney to review the contract. A lawyer can then negotiate to modify the covenant as needed, or may even draft a new one that is acceptable to both parties Attorneys can provide valuable counseling to employers who are considering suing an employer who breached a covenant not to compete. They can also assist employees who have signed an agreement limiting their employment options.