Laid off 1 year ago with a noncompete contract. Want to start my own business in the same field
I worked for a plumbing company for 8 months in Gilbert, AZ where I signed a noncompete contract with no time limit. I was Laid off and am now working for the plumbers union in Youngstown, OH(I felt this was safe since it is far from my former bosses interests). When I get my certification I want to move back to AZ and start my own business. This will most likely be in about 5 years. From your experience will I have ground to stand on in the courts to have the contract dismissed by that time?
1 answer | asked Dec 6, 2007 01:15 AM [EST] | applies to Arizona
Answers (1)
Noncompete agreement requires time limit
A noncompete agreement will not be enforceable unless is reasonably necessary for the protection of legitimate business interests, has a reasonable time limit and a reasonable geographic limit. If your agreement has no time limit, it is not enforceable. Even if it had a time limit, a limit of more than a year or two would likely be considered unreasonable, and the court will not rewrite the agreement to make it reasonable. You do not have to have the contract "dismissed" by a court. The burden of enforcing a contract is on your former employer, who must convince the court that the contract is valid and enforceable and is being breached.
posted by Francis Fanning | Dec 6, 2007 12:08 PM [EST]
A noncompete agreement will not be enforceable unless is reasonably necessary for the protection of legitimate business interests, has a reasonable time limit and a reasonable geographic limit. If your agreement has no time limit, it is not enforceable. Even if it had a time limit, a limit of more than a year or two would likely be considered unreasonable, and the court will not rewrite the agreement to make it reasonable. You do not have to have the contract "dismissed" by a court. The burden of enforcing a contract is on your former employer, who must convince the court that the contract is valid and enforceable and is being breached.
posted by Francis Fanning | Dec 6, 2007 12:08 PM [EST]
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