Can an employer forbid you from working for a rival firm? Imagine an employer employing you, but you haven’t agreed to an employment contract or a legally enforceable letter of intent that includes a non-compete clause. They won’t be able to prevent you from working anyplace in that situation. The two professions where non-compete clauses in the employment contract are typically expected are healthcare providers and sales.
There will be a section titled “restrictive covenants” in it. And the professional is forbidden from doing those activities both throughout the contract’s duration and after it expires. Restrictive covenants could include a no-disparagement, no-solicitation, and, more crucially, in this case, a no-compete clause.
Make sure you comprehend every one of these terms and conditions before signing a non-compete agreement. You may safeguard both your present and future employment in this way. To get started, speak with a knowledgeable non-competition agreement attorney Charlotte NC who can evaluate the contract and advise you.
Situations in which a Boss Can and Cannot Forbid You from Working
If you don’t have an employment contract and are only employed, you might have received an offer letter or other document outlining the pay. They cannot prevent you from working elsewhere after the contract expires; therefore, no. However, if a non-compete clause was included in an employment contract or perhaps an agreement for working as an independent contractor. The clauses in that contract may prevent you from working in several locations. In general, businesses aren’t mainly listed.
It does happen from time to time, but it usually depends on geography rather than the employer. Let’s imagine you sell software and have a direct rival in your neighbourhood. Perhaps it might state that while you cannot work for them, you may work elsewhere. It would be uncommon to state that you cannot work for X company in addition to these ten adjacent counties.
Termination Package Agreement
Now, the cunning method by which businesses get around circumstances in which an individual has not signed a non-compete agreement is after the job relationship has ended. Therefore, the professional has two options: either they provide notice and announce their intention to leave, or the business decides to fire them without justification. They will often offer a severance package if they are worried about the professional’s competitive behaviour. In either the healthcare or sales industries, severance agreements are uncommon.
