Covenants Not To Compete: For Everyone At The Firm Except Attorneys?

A covenant not to compete is an increasingly popular device employers use to bind employees not to work for, or as, a direct competitor. Such covenants are most often found in employment contracts, but they can also be a separate document, signed by the employee at hiring, during employment, or upon leaving. However, in many states, a covenant not to compete cannot stand alone as a binding agreement, but must be ancillary to an employment or other type of contract that provides some benefit to the employee. <br>While covenants not to compete may be used by employers in certain court-delineated circumstances, ethical rules specifically bar the application of such restrictive covenants to attorneys.

33 minute read May 31, 2005 at 09:45 AM
By
Debra L. Raskin and Stephanie A. Darigan
Covenants Not To Compete: For Everyone At The Firm Except Attorneys?

A covenant not to compete is an increasingly popular device employers use to bind employees not to work for, or as, a direct competitor. The restriction is usually limited in time and to a particular geographical area.

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