Exclusionary contracts

HearWHAC hearwhac at netins.net
Sat Jun 14 10:22:15 EST 1997


(Zipjack) wrote:
> Does anyone out there know if contractual requirements that an
> employee not seek new work in Audiology within X# mile radius
> are legal?

Sure, if done properly a "non-compete" clause in a contract can be
enforced.

> In the past, one of my former bosses made such an exclusion part of
> our contract, but she violated her side of the contract many times, in
> terms of work availiable, vacation, salary, and a bonus that was never
> given, despite consistent performance, no abscences, and many sales on
> my part.

To be enforceable, a "non-compete" clause in a contract must be fair to
both parties. The employer should be providing something of value, such
as a base of patients, marketing, etc. The employee agrees to not
compete in that area for a specific period of time after they terminate
their contract with that employer. The courts expect the agreement to be
"fair" to both parties. If it is not, the contract could be voided and
unenforceable.

One should never enter into such a contract, nor try to violate such a
contract, without the benefit of a good lawyer. You will find a good
attorney to be well worth their cost in situations of this nature.

Paul Woodard ;-)

(I'm not an attorney, but I highly recommend you contact a "good" one on
this issue.)



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