What Is a Non-Compete Agreement? Its Purpose and Requirements - Printable Version +- SG Talk (https://sgtalk.net) +-- Forum: SG Talk (https://sgtalk.net/Forum-SG-Talk) +--- Forum: Market Talk (https://sgtalk.net/Forum-Market-Talk) +--- Thread: What Is a Non-Compete Agreement? Its Purpose and Requirements (/Thread-What-Is-a-Non-Compete-Agreement-Its-Purpose-and-Requirements)

What Is a Non-Compete Agreement? Its Purpose and Requirements - Bigiron - 03-10-2024 What Is a Non-Compete Agreement? Its Purpose and Requirements https://www.investopedia.com/terms/n/noncompete-agreement.asp#:~:text=These%20agreements%20may%20also%20be,its%20place%20in%20the%20market. https://dentons.rodyk.com/en/insights/alerts/2024/february/16/non-compete-clauses-in-singapore-and-insights-from-the-recent-shopee-case#:~:text=The%20enforceability%20of%20such%20a,proprietary%20interest%20of%20the%20employer. https://pkwalaw.com/non-compete-clauses/ RE: What Is a Non-Compete Agreement? Its Purpose and Requirements - Bigiron - 03-10-2024 Thread 'Another case of non-compete clause : MoneySmart vs ex-employee' https://forums.hardwarezone.com.sg/threads/another-case-of-non-compete-clause-moneysmart-vs-ex-employee.7016089/ Thread 'Shopee sues ex-senior employee to stop him from working for 'competitor' ByteDance, citing non-compete clause' https://forums.hardwarezone.com.sg/threads/shopee-sues-ex-senior-employee-to-stop-him-from-working-for-competitor-bytedance-citing-non-compete-clause.6996698/ RE: What Is a Non-Compete Agreement? Its Purpose and Requirements - Bigiron - 03-10-2024 Non-compete clauses in employment contracts can be fair or unfair, depending on the specific circumstances. *Fair considerations:* 1. Protection of trade secrets and intellectual property 2. Prevention of unfair competition 3. Preservation of business relationships and goodwill 4. Reasonable scope and duration *Unfair considerations:* 1. Overly broad or vague scope 2. Excessive duration 3. Unreasonable geographic restrictions 4. Lack of consideration (e.g., no severance pay) *Best practices for employers:* 1. Clearly define scope and duration 2. Provide consideration (e.g., signing bonus) 3. Limit geographic restrictions 4. Ensure clause is tailored to specific job duties *Employee rights:* 1. Right to negotiate or refuse 2. Right to seek legal counsel 3. Right to challenge unreasonable clauses *Enforceability:* 1. Varies by jurisdiction (state/country) 2. Courts consider reasonableness and public interest 3. May be enforceable if reasonable and necessary *Alternatives to non-compete clauses:* 1. Non-disclosure agreements (NDAs) 2. Non-solicitation agreements 3. Confidentiality agreements *US State-specific laws:* 1. California: Generally prohibits non-compete clauses 2. Texas: Allows reasonable non-compete clauses 3. New York: Enforces reasonable non-compete clauses *International laws:* 1. EU: Generally restricts non-compete clauses 2. Canada: Varies by province 3. Australia: Enforces reasonable non-compete clauses