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Navigating your noncompete agreement

On Behalf of | Jul 1, 2021 | employment contracts |

There are all kinds of employee contracts, many of which look to trade a career or other compensation in exchange for maintaining protections on employer assets. Noncompetes are one of those and they aim to keep you as a worker from competing against your employer during or after your employment.

That sort of agreement may or may not keep you out of your dream career, depending on the circumstances. Having an awareness of what noncompete agreements are may help you make better decisions if your employer ever offers one your way.

Noncompete agreement basics

As Business.com reports, noncompete agreements revolve around state laws and regulations. If Pennsylvania finds an agreement too restrictive or too broad, it may not hold up in its courts. Every noncompete should have a few basics:

  • Specific dates your employer requires you to abide by the noncompete agreement
  • Detailed descriptions of what the agreement considers breaking the agreement
  • Potential purchase options to buy out of the agreement

The dates are an important aspect, as agreements that bar an employee from future work with competitors indefinitely may be too restrictive. Oftentimes, noncompete agreements may extend out to six months or a year after you leave your company.

You and your noncompete agreement

You do not have to sign a noncompete agreement, as it is a business contract. But many employers implement these in hiring contracts. In the event that your employer asks you to sign one after they hire you, you may demand extra compensation for the new contract. Making sure you know the ins and outs of any work contract is vital before making the big decision to sign one.