Articles Posted in Non-Compete Agreements

Generally, a non-compete agreement is enforceable if it is in writing, supports an employer’s legitimate business interest, and is not overly restrictive in its duration and geographical area. See Florida Statute § 542.335. The Florida Statute governing non-compete agreements lists several public policy considerations that appear, at first blush, to be an impediment to the…

Agreements in restraints of trade are generally void unless they comply with the procedures of § 542.335, Florida Statutes. The statute requires that any agreement restraining trade, such as a non-compete or non-solicitation agreement, be supported by a “legitimate business interest.” An agreement restraining trade can only be enforced to the extent that the agreement…

Many sales positions, irrespective of the industry, require employees to establish personal relationships with prospective or existing customers. Sales employees often meet and greet a business’ existing and potential customers, at the business’ expense to ensure current and future business success. These substantial relationships formed by employees may constitute a protected legitimate business interests as…

The Florida Arbitration Code provides businesses with flexibility in resolving their conflicts through arbitration. Arbitration is an immensely popular method of conflict resolution for Florida business litigation and employment litigation. Arbitration can generally help resolve disputes more quickly than litigation. However, parties to arbitration sometimes need court intervention via “provisional remedies,” i.e., a court ruling…

The Florida Legislature has enacted a new statute impacting non-compete agreements for certain specialty physicians, effective June 25, 2019. Pursuant to Florida Statute § 542.336, there is no “legitimate business interest” to support non-compete agreements for physicians licensed under Chapter 458 and 459 of the Florida Statutes, where there is only one entity that employs…

Employers in litigation against their employees face the challenge of not only dealing with the claims made by those employees, but the threat of being left to pay the attorneys’ fees bill of their opponents. Employers can mitigate that risk, and sometimes even turn the tables and win their attorneys’ fees from their former employees,…

A temporary injunction is an available remedy when a party establishes that it has a valid, enforceable non-compete agreement that was violated. Fla. Stat. § 542.335(1)(j). Subsections 542.335(1)(b) and (c) of the Florida Statutes, set the standard for enforcing non-compete agreements and require the party seeking enforcement to plead and prove: (1) the existence of…

A forum-selection clause is a structural provision of a contract that addresses the procedural requirements for dispute resolution. In other words, the contracting parties may choose which forum, i.e. which federal or state court, for prospective disputes to be filed. Courts must enforce forum-selection agreements unless they are shown to be unreasonable or unjust. Peter…

Any competition by a former employee may injure the business of the former employer. However, the former employer cannot restrain ordinary competition. To be entitled to protection, the former employer must show special facts over and above ordinary competition which show that the former employee would have an unfair advantage without the non-compete agreement. Peter…

When disputes arise over which version of a non-compete agreement was the final version executed by and binding on the parties, discovery of pre-contract negotiations may become necessary. Parties often retain an attorney for those negotiations. If the attorney involved in the negotiations becomes a witness to the case, attorney-client communications may need to be…