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?

Knowing in advance whether a judge will enforce an employee's non-compete clause can be 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. 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 Sunset Hills.

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?

You may want to hire a Sunset Hills, Missouri 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. 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.