When an employer hires a new employee, they often want to protect themselves from any competition from that employee if they were to leave the company. This is where a non-compete clause comes in. It is an agreement that the employee will not work for a competitor of the company for a certain period of time after leaving the company. In this article, we will provide an example of a contract non-compete clause.

EXAMPLE NON-COMPETE CLAUSE:

The employee agrees that for a period of 12 months following termination of employment with the company, the employee will not directly or indirectly compete with the company by engaging in any business that is similar to or that could be considered in competition with the company, within a radius of 25 miles from any location where the company conducts business.

The employee understands that this non-compete clause is an essential part of the employment agreement and the employee’s agreement to this clause is a material inducement to the company to enter into this agreement. The employee further confirms that the employee possesses skills and abilities that are unique to the company`s business and would be difficult to replace.

The employee agrees that any breach of this non-compete clause will cause the company irreparable damage and that the company may seek injunctive relief, as well as any other legal remedies, without the need to prove irreparable harm or damage.

The employee agrees that this non-compete clause will survive the termination of employment for any reason, including but not limited to resignation or discharge by the company.

CONCLUSION:

It is important to note that non-compete clauses are subject to state laws and may vary in length and scope depending on the state. Some states may have restrictions on non-compete clauses, while in others, they may be more enforceable. Therefore, it is recommended that employers consult with an experienced attorney to draft and review non-compete clauses to ensure compliance with state laws and to protect the company’s interests.