The importance of timing when it comes to noncompete agreements

On Behalf of | Aug 10, 2021 | Employment Law -- Employer |

This blog has previously discussed what to include in a non-compete agreement. The timing of a non-compete agreement can also be an important aspect of a non-compete agreement that Pennsylvania employers should also be familiar with.

The timing of a non-compete agreement

The timing of a non-compete agreement is important. If the employer waits until after an employee has begun work to have an employee sign a non-compete agreement, it is unlikely that such a non-compete agreement will be viewed as enforceable against the employee. If the employee commences employment without having signed the employment agreement, the employment agreement is highly unlikely to be viewed as valid unless the employer and the employee agreed to the essential provisions and restrictions of the agreement prior to the employee beginning work.

It will be important for the employer in that instance to be able to demonstrate agreement to the key provisions of the non-compete agreement If they are seeking to enforce the terms of the agreement against the employee. Non-compete agreements and the laws concerning them can vary significantly by state so wherever the non-compete is being executed, it is important for the parties to be familiar with the non-compete laws and requirements of that state.

Dealing with non-compete agreement issues

Non-compete agreements should be carefully negotiated. The enforceability of a non-compete agreement is, of course, important to both the employer and the employee. For that reason, employers should be aware of what to include in a non-compete agreement and when to execute a non-compete agreement which employment law can help them understand.