Preventing Unfair Competition In The Absence Of A Non-compete Agreement

You’ve read the tile of this article. There it is, up above. Let me repeat:

Preventing Unfair Competition in the Absence Of A Noncompete Agreement

What I really want you to focus on is the last part. The part that reads: “. . . In The Absence Of A Noncompete Agreement”.

Not every noncompete agreement is enforceable.California, for one, has a public policy against noncompete agreements, except in limited circumstances, such as the owner of a business agreeing to a noncompete as part of selling the business.

Try to enforce a noncompete agreement against employees in California and you run up against the statutory provision against restraint of trade. California Business & Professions Code Section 16600 provides:

LOADING PDF: If there are any problems, click here to download the file.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Robert Freedman - Partner at Tharpe & Howell, LLP | Attorney Advertising

Written by:


Robert Freedman - Partner at Tharpe & Howell, LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.