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Non-Compete Agreements


In our modern economy, business advantages are often created through the accumulation of information that is valuable because competitors do not know it. Much of what a business does in planning marketing efforts, in negotiating pricing with its supplies, in structuring its own employees’ compensation, and in developing new product improvements or lines is most valuable when it is kept undisclosed from competitors. Each of these competitive advantages can cost substantial amounts to develop, and deserve the maximum amount of legal protection available.

A common strategy employed in our economy is requiring business partners, officers, owners, employees and even independent contractors to sign non-compete agreements. Such agreements normally bind the signing party to not compete against the business in a particular region, product line or customer base, and for a designated period of time. Structured correctly, these agreements can be highly effective at ensuring employee loyalty and avoiding negative business consequences that competition by those with intimate knowledge of your business can cause. However, there are many restrictions on enforcement of such agreements.  They must generally be reasonable, and appropriately limited in scope, geography and time. This means that in every case the outcome will turn on detailed analysis of important facts and of the language used in the non-compete agreement.

The attorneys at Richards & Moskowitz have the experience to successfully address a wide variety of non-compete disputes, including those involving stockbrokers, medical professionals, key sales personnel and engineering staff.  We are glad to bring our proactive, creative and careful approach to your non-compete problems.

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