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Restrictive Covenants

Pospis Law offers representation to parties in cases involving so-called restrictive covenants.  Generally, a restrictive covenant is a promise – usually contained in a contract (including employment contracts and severance agreements) – that restricts one or more parties from doing something.

They could include:

  • Non-Compete Agreements that seek to prevent someone from competing with a business (for example, a former employer) for a specified time and/or in a specified area;
  • Non-Solicitation Agreements that seek to prevent someone from soliciting customers or employees of a company; and
  • Confidentiality Agreements that seek to prevent the disclosure of certain information.

Under New York law, such covenants may or may not be enforceable, depending upon their scope.  In the employer-employee context, a covenant that purports to restrict an employee’s subsequent employment may be enforced only if it is:  (1) reasonable in time and area, (2) necessary to protect the employer’s legitimate interests, (3) not harmful to the general public and (4) not unreasonably burdensome to the employee.

If you have been presented with a restrictive covenant, or wish to enforce a restrictive covenant, contact us today.  It is important to speak to a knowledgeable employment attorney as soon as possible, since important interests – including perhaps your right to earn a living – may be at stake.  We can advise you as to an appropriate course of action and, if necessary, represent you in the appropriate forum.

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