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Commonly Asked Questions about Noncompetition Agreement Forms

During the term of my employment with the Company, and for a period of twelve (12) months immediately following termination of employment for any reason, whether with or without cause, I shall not, directly or indirectly, solicit any of the Companys employees or consultants, or attempt to solicit employees or
This might look something like this: During the term of this Agreement and for a one (1) year term thereafter, (Contractor Name) shall not solicit or encourage any employee, vendor, independent contractor, or client of (Company Name) to leave or terminate their relationship with (Company Name) for any reason.
Both have one thing in common: They usually are not enforceable here in California because each may impede persons from performing their chosen profession (California Business Professions Code Section 16600).
Under case law, non-competes will only be enforceable if they are no wider than reasonably necessary to protect a legitimate interest (e.g. protection of confidential information or customer contacts) and are not contrary to the public interest.
For an agreement to be legally binding, both parties must receive something of value (consideration) in exchange for their commitments. For example, when implementing non-solicitation agreements with existing employees, offering continued employment or additional compensation can serve as valid consideration.
The Employee specifically agrees that for a period of [months/years] after the Employee is no longer employed by the Company, the Employee will not engage, directly or indirectly, either as proprietor, stockholder, partner, officer, employee or otherwise, in the same or similar activities as were performed for
You agree that at no time during the term of your employment with the Company will you engage in any business activity which is competitive with the Company nor work for any company which competes with the Company.
(c) [Employee name] agrees not to set up in business as a direct competitor of [company name] within a radius of [number] miles of [company name and location] for a period of [number and measure of time (e.g., four months or 10 years)] following the expiration or termination of this agreement.