Non Compete Agreements
Non-Compete forms are typically used in arrangements between employees and employers in order to ensure that an employee who ends their relationship with the employer does not start a similar company or profession that competes directly with the employer.
From the employer’s perspective, this prevents the usage of trade information divulged during the tenure of the employment relationship from working against the employer. From the employee’s perspective, the agreement is typically made upon being hired in order to secure a new position with said employer.
Other forms of Non-Compete agreements typically relate to the sale of business; for the buyer of a business, it is important that the previous owner of the business doesn’t sell said business and then immediately start a new company in competition with the one that has just been sold.
Non-Compete “language” often comes in the form of a clause within an employment agreement; however, many people find using separate Non-Compete forms and agreements works just as well.