As a company looking to hire employees, it may be important to consider sending out non-compete or non-solicitation agreements. Stephanie Hendricks of Hendricks Law Firm PLLC explains that a non-compete form restricts an employee from joining a company that may be considered competition upon exiting the present business. This provision typically stands for a period of time occurring directly after the employee decides to leave. Non-solicitation includes not allowing past employees to divert clients or employees away from the business.
Provisions such as these are important to help safeguard the company. Employees are often exposed to confidential information that help the company function. It is a valuable step to protect this information especially in the case of an employee’s termination. Without this protection, nothing would stop an individual from taking the business’ clients or employees in order to start their own lucrative project.
If a document including non-compete and non-solicitation provisions is not signed, little else can be done to protect the business’ important information. If a suspicion arises, a lawsuit would have to take shape in order to validate the claim. The offense would have to result in a quite volatile interference with business processes. It is possible to reach a solution through a case like this, however a lot more money and time can be saved with a precautionary document signed in the early stages.
Stephanie Hendricks offers more than 15 years of experience in sharing legal advice for business operations. To read more from her on the topic of non-compete forms, visit HG.org here.
