Non-Compete Agreements in Arizona: What You Need to Know Before You Sign [Infographic]

Non-Compete Agreements in Arizona What You Need to Know Before You Sign

Signing a non-compete agreement prohibits an employee from directly competing with the former employer in any way should the employee sign a new contract with a prospective employer.

Typically, these agreements are legally enforceable in Arizona if:

• The non-compete agreement is limited to protecting the employer's legitimate business interests.

• The agreement is reasonable in both duration and scope.

• The agreement doesn't violate Arizona public policy.

Overly broad or unreasonable agreements, by contrast, may be unenforceable.

Here are some key terms of non-competes that are worth paying attention to before signing:

• Where does the non-compete apply? Is it national, regional, or local?

• Is the non-compete industry-wide or does it only exclude certain competitors?

• What is the non-compete's duration? Lengthy non-compete agreements can unnecessarily restrict an employee's future career mobility.

• Could the agreement impact your ability to find future employment in your preferred industry?

• Are there damage provisions if you violate the agreement? If so, it is often wise to request the elimination of those terms.

To discuss a specific provision of the agreement that you find undesirable or other concerns regarding Arizona non-competes, contact an Arizona employment lawyer at Tyler Allen Law Firm.

Sources:

allenlawaz.com/​non-competes-legal-arizona/ monster.com/career-advice/article/noncompete-agreements