I heard non compete agreements are no longer enforceable. Is that correct?
Thanks in advance. Dr. H
Answer:
Fake news. There was so much press last year about non competes and the actions taken by the FTC, however, the nationwide prohibition on non-competes was completely tossed out and in each state the law of that specific land, state by state, is what we are governed by. Each state has its own rules. For New York, a non compete will be upheld when it is viewed as reasonable in scope and duration, as necessary to protect legitimate business interests. In Massachusetts, for instance, there are limits on employment non competes to 1 year.
Bottom line: non competes need to be addressed on the way in, when you perhaps have some leverage. If you are bound, you may be able to negotiate your way out later, but not necessarily.... Hope this helps. Call with specific questions.
Interested in having Jennifer speak at an event or at a residency/fellowship program? Contact Jennifer directly at (516) 747-6700 x. 302 or at Jennifer@Kirschenbaumesq.com
MISSED AN EDUCATIONAL WEBINAR PROVIDED BY K&K? CLICK HERE FOR K&K's HEALTHCARE EDUCATIONAL WEBINARS
Ask us a question
Jennifer Kirschenbaum, Esq.Partner
Ask us your questions. We will help if we can & let you know before any charge is incurred.
Jennifer@kirschenbaumesq.com
Educational Webinars
Insurance Broker contribution to Due Diligence in Acquisition Transaction - March 9, 2022
Interested in having Jennifer speak at an event or at a residency/fellowship program? Contact Jennifer directly at (516) 747-6700 x. 302 or at Jennifer@Kirschenbaumesq.com