Florida Non Compete Lawyers

Providing High-Quality Legal Advice for Individuals and Businesses

The majority of successful businesses employ significant amounts of time, effort, and resources to train their employees in order to empower them to be successful and help the company continue to grow. Sometimes, the process of onboarding and training new or current employees requires the company to share proprietary information, such as specialized knowledge or manufacturing processes that are critical to the success of the business. In these instances, many companies may choose to require employees to sign a non-compete agreement or a restrictive covenant in order to protect the business’s interests and intellectual property.

The attorneys at Bloodworth Law, PLLC, explain how non-compete agreements work in Florida, what makes them unenforceable, and when to seek legal counsel regarding a non-compete agreement for your company. For advice concerning your specific legal matter, contact Bloodworth Law, PLLC, directly by calling 407-449-8958.

What Is a Non-compete Agreement?

A non-compete agreement is a legal contract between an employer and an employee that restricts the employee from engaging in competitive activities that may harm the employer’s business interests. It typically prevents the employee from working for a competitor or starting a similar business within a specific geographical area and for a specified period of time after leaving the company.

Non-compete agreements are designed to protect the employer’s confidential information, trade secrets, and customer relationships. They help ensure that the employer’s investment in the training and development of employees is not undermined by their departure to a competitor. In general, large businesses typically use standardized non-compete agreements for all employees, while smaller companies may choose to customize their agreements and include specific provisions for certain employees, depending on the type of activities these employees may be engaged in during the course of their employment.

Why Are Non-compete Agreements Beneficial to Businesses in Florida?

A non-compete agreement may offer some type of compensation or advantage to an employee in exchange for having the employee agree not to work for a competitor in the same line of business, usually in a certain geographic area and for a determined period of time; such as two years after leaving their current position. Many Florida businesses choose to use non-compete agreements as a way to maintain their competitive edge by preventing their competitors from leveraging the knowledge and experience of a former employee to their advantage.

For example, suppose a business has spent reasonable time and resources to train its employees in various aspects of a proprietary manufacturing process that allows the company to produce high-quality deliverables in half the time while keeping production costs low. Should one of their employees decide to quit after receiving a job offer from a competitor, that employee could end up sharing trade secrets with the competitor and thus harm the ability of the business to protect their proprietary processes. In this case, a non-compete agreement may protect their trade secrets by preventing their employee from working for their competitor immediately after leaving their job position at the current company.

Are Non-compete Agreements Enforceable in Florida?

Non-compete agreements are enforceable in Florida, provided that they do not restrict an employee’s right to work and earn a living. State laws may not allow for the enforceability of non-compete agreements with the exclusive purpose of preventing competition.

In order for a non-compete agreement to be enforceable in Florida, the agreement must contain a reasonable scope of restriction in terms of time, geographic location, and line of business. In addition, the agreement must be designed to protect a legitimate business interest, such as trade secrets, customer lists, or any type of extraordinary or specialized knowledge and training. Finally, the agreement must not negatively affect the public. For instance, a non-compete agreement may not result in a job shortage in a specific geographic area that would harm the public interest in the long run.

Can an Employee Contest a Non-compete Agreement in Court?

It is possible for a former employee of a company to contest a non-compete agreement in court, provided that the employee can demonstrate sufficient reasons that make the agreement unenforceable. It is up to the employee to convince the court that the agreement is not reasonable, goes against public policy, or is excessively broad and restrictive in scope. For example, an agreement may be voided if it imposes unreasonable restrictions, such as the length of time, geographic area, and type of business applicable to the agreement.

If the former employee can successfully prove some or all of these points, the court may agree to deem some or all of the non-compete agreement terms unenforceable. In some cases, the court may order the revision of certain aspects of a non-compete agreement so as to make the agreement more reasonable and enforceable.

When Should You Consult an Attorney Concerning a Non-compete Agreement?

Consulting a skilled employment law and non-compete agreement attorney may be beneficial for both employers and employees. An employer may benefit from the professional opinion of an attorney in order to make sure the terms and conditions of their non-compete agreement are reasonable and enforceable, which could help reduce the risk of costly legal disputes later on. Likewise, an employee may benefit from the legal counsel of an attorney before signing a non-compete agreement, as well as in situations where the employee believes some or all of the non-compete agreement they signed for a former employer may be unenforceable and should be contested.

If you have questions concerning noncompete agreements in Orlando, Florida, reach out to the attorneys at Bloodworth Law, PLLC, by calling 407-449-8958 and requesting an initial consultation to discuss your case.