As a previous post has discussed, non-compete agreements are a contract clause that Texas employers may use to prohibit workers from working for their competitors after leaving their employment. Sometimes, however, issues may arise when employers seek to enforce such covenants. Therefore, it behooves business owners to understand when covenants not to compete are enforceable to help ensure that these clauses are structured appropriately.
In general, there are certain requirements that must be met in order to enforce non-compete agreements. Under the Texas Free Enterprise and Antitrust Act of 1983, covenants not to compete are only enforceable if they are supporting, or a part of, agreements that are otherwise enforceable. For example, if a
In general, there are certain requirements that must be met in order to enforce non-compete agreements. Under the Texas Free Enterprise and Antitrust Act of 1983, covenants not to compete are only enforceable if they are supporting, or a part of, agreements that are otherwise enforceable. For example, if a