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What is a non-compete clause?


A non-compete, also known as a covenant not to compete, is usually part of an employment agreement or a buy-sell agreement. What it does, it prohibits an employee or other person, manager, or could be an officer or could be a director, from competing with the particular business or entity that has that person sign the non-compete. They can be as large as the entire state of Florida if it’s a company that does business throughout Florida, or it can be limited to a county or a region, in our case the Treasure Coast region.

Additionally, non-competes are limited by duration. The typical non-compete is anywhere from two to three years. It’s very tough to have a non-compete that is longer than that, because these types of agreements are not favored. They are the exception rather than the rule. They’re very hard to break in Florida. If you have a non-compete and you wish to break it or you wish to engage in the same type of business that you were in when you signed it, it’s extremely important that you contact a lawyer that deals in non-competes. We would suggest that you contact a board-certified business litigation lawyer, which we have three of in our firm.

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