See These 3 Non-Compete Agreement Strategies In Action In Georgia’s At-Will Work Environment – Before Your Competitors Do!
3 Things You Need To Know Before Signing A Non-Compete Agreement!
It is becoming more and more common for employers to include non-compete agreements with your employment contract.
Many workers have raised concerns about how enforceable non-compete agreements are in Georgia considering that it is an at-will work state.
At-will usually means that an employer can terminate you for any number of reasons, so long as it doesn’t fall into specific non-discriminatory boundaries and protections.
The flip side is that you can leave a job at anytime as well, which at first glance seems to conflict with the spirit of a non-compete agreement.
However, there are some ways that a non-compete agreement can be valid in Georgia.
And, it is important for you to be mindful if a binding non-compete agreement will hinder your future job prospects should you seek new employment.
Under Georgia law, there are three main criteria that a non-compete agreement must have to be enforceable.
Firstly, a valid non-compete agreement must have consideration for your needs as an employee to take the restrictions and, further, which incentivizes you to be tied to the agreement.
This means that you must get a noticeable pay raise or meaningful monetary sum if you are already employed or, if you are seeking employment, an increase to your offer can be categorized as consideration.
Secondly, the non-compete must be made to protect a valid business interest and must be restricted in scope–meaning you cannot prohibit someone from working in any area, but only in the specific field they were previously employed.
For example, if an accountant signed a non-compete, then they would normally not be prohibited from working in sales, even for a competitor, as “sales” would be outside the scope of their previous position of accountant.
Thirdly, there must be a definite end date that is reasonable that will allow you to come back into the market as a potential competitor.
If it extends so long that it hinders your ability to ever leave the company in a realistic way, the non-compete agreement may not meet the criteria.
What Happens If The Non-Compete Agreement Is Seen Bad?
What happens if the non-compete agreement is seen as bad in the eyes of a judge.
Georgia has what is sometimes known as the “blue pencil” rule, which allows judges to modify agreements to bring them in line with the law or to be more agreeable between parties.HinesLaw.org
Your non-compete might not automatically be tossed out if it is found to be unfair, but the deadline might be nudged, or certain restrictions might be lifted.
Drafting and interpreting these agreements can be tricky for both employer and employee.
If you have questions, certainly the best time to address them would be prior to signing a non-compete agreement.
Watch The Video: Many Dogs Have To Compete For Resources
I love this video for three reasons:
- I love dogs.
- As an entrepreneur, I respect non-compete agreements.
- As a homesteader, I purchased my land to raise animals.
Let me put you in touch with experts to ensure you don’t find yourself years later in a serious dilemma.