Judge Smails was Right! But there is a Limit When it Comes to Non-Competes

(SPOILER ALERT – CLICK THROUGH TO NEXT PAGE FOR THE ARTICLE AND A CLASSIC VIDEO CLIP)

If you know me, you know that I do a LOT of work in the non-compete/restrictive covenant space. A recent article in The New York Times discusses the impact that restrictive covenants can have on the work place. (Link on next page.)

Employment lawyers know this, but workers are often astonished to learn that they’ve signed away their right to leave for a competitor. Timothy Gonzalez, an hourly laborer who shoveled dirt for a fast-food-level wage, was sued after leaving one environmental drilling company for another. Phillip Barone, a midlevel salesman and Air Force veteran, was let go from his job after his old company sent a cease-and-desist letter saying he had signed a noncompete.

Such an inquiry is nothing new; there have long been articles on Jimmy John’s use of covenants for sandwich makers and summer camp counselors. Continue reading