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To navigate a non-compete agreement, recognize that there are two types: one preventing competition with a former employer by starting a new business or working for a competitor. These agreements are challenging to enforce as courts require proof of a compelling business interest for enforcement. Typically, the court will limit restrictions to essential interests, such as protecting goodwill or reputation in a specific area. If the agreement imposes broad limitations, like staying out of an entire state, the court might not enforce it if the interest doesn't apply widely. For example, a company's reputation in one city may not justify restrictions in another where they are less known.
