Then what does it prevent?

It prevents your employee from starting a competing business anywhere in that state for x number of years. But if his business is in

an area of the state that you don't care about, you just let it slide.

I think they just stop you from recruiting another companies customers for a period of time here.

Keep thinking.

Non-competes must be realistic.

Generally, this means that you are able to protect propitiatory information, customer lists, a realistic service area (usually 1 or 2 hours from office) and they tend to be "good" for a short time frame. More importantly, if you do a non-compete you must be willing to invest the money to enforce it (provided your state recognizes them).

As a real world example, Ohio recognizes non-competes, but even with providing statewide services I had to list each specific service I offered, a general description for any "proprietary" skills and/equipment I used, and was limited to a maximum service area for general wildlife removal to 1 hour from the registered office location and bat exclusion work to 2 hours for a maximum of 2 years. Then anytime I found a violation, I would need to pursue it so I didn't create a "favoritism" issue with one former employee saying "He allowed this other guy to do it, so why couldn't I".

In short, unless you have a very specific type of equipment you have made or manufacture yourself or have some sort of training/service method that cannot be found in any book, video, or Internet blog/message board you'll be limited with preventing someone from competing with you if they really want to. On the flip side, a decent non-compete does make it easier to prevent an employee from leaving you to work at a competitors company. So for that reason, I feel they are well worth it.

I don't think a no compete should work state wide. For me a competitor could be 10 hours away and be in the state. Would you say that its fair for a me hanoc to sign a no compete?

It might be different for you guys in states where there is a wco every block. I worried when I was first hiri,g, but it's the same in every industry and I think it's up to us to out compete. And I say that as someone in a service area that really couldn't support another.

As someone who is in a service area that could probably not support another company, you need non-compete protection more than most

of us. The best thing about a non-compete clause is that it makes your employees think twice about taking advantage of you. Most

intelligent people feel that fighting a non-compete clause is starting off on the wrong foot.

Curious, have any of you defended your non-competes in court and won?

It seems none of what we do falls under trade secrets, proprietary process. If then the sole reason is stopping competition, it would seem federal antitrust laws would come into play, That's why I wondered if you had won on the stopping competition in court.
Kurt Temple

That's the beauty of this thing Kurt. We have the big guys that have expensive lawyers to set the precedents. Rarely do people

intentionally challenge the clause. This isn't about stopping the competition; it's about you training your competition. I'm guessing

there are guys on here who waited out the proper time period and then set up their own businesses. And they are probably quite

successful, because guys who play by the rules usually are, in this business.

If you hire someone who is already trained to industry standards, does this apply?

Kurt Temple

Are there financial retributions or just a "cease and desist"?

I suspect a non compete would be a deterent but not worth enforcing in all practicality.

Eric brings up a good point about the "selective enforcement" thing. I run into the same type of thing with my rental homes.

Either way, sufficiently interested enough that I called my attorney and asked for a referral for a good employment attorney. Got an appointment set for Dec 1. I suspect most info will be state specific but will share anything worth sharing if the thread is still around.

Kurt, if they sign the non-compete agreement they have to wait it out as well. Bob, that selective enforcement thing is what I was

referring to in my post about an employee starting a business in an area that you don't care about. This usually works out to the

benefit of both, rather than a losing proposition for you.