Can I be forced to sign a non- compete agreement or be fired? I am not a new hire.

Business 2 views 3 answers
I was given a review yesterday...in which, the owners of my business sang my praises and told me how blessed they were to have me as a part of their team. They asked me if I had any ideas for marketing.(- as a prior business owner) We had a glass of wine and did some brainstorming. I was then presented with a contract. All aspects of this contract I did not agree with but, I was willing to sign...except the terms of the non-compete. They told me that it was required or I was no longer allowed to work there. Wow! I was a bit taken back. The only trade secrets that have been shared there are the ones that I have given classes on- free of charge! Please help!

Attorney Answers

3
Donald Scarinci ·
It sounds like you are an at-will employee working without a contract already and that your employer seeks to alter that arrangement by presenting you with a contract to sign. Employment contracts are always subject to negotiation. Like any contract, some terms are more important than other, ie., compensation, benefits, vacation and sick time, etc. You will need to decide how important a non-compete cluase is to you and how valuable it might be to your employer. Non compete clauses have limitations. They need to define a narrow and reasonable geographic boundary and they cannot be overbroad and have the effect of eliminating competition when your employment with your current employer ends. You should take the contract to a Florida lawyer and get advice under Florida law about the non-compete. You should also reach a conclusion yourself about your employer's motives. I hope this helps you.
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Melissa D. LenhardFranchise LawyerPhiladelphia, PA ·
Florida is an at-will employment state. This means that, unless you have an employment contract, you can quit your job at any time for any reason. Conversely, it also means that an employer can fire you at any time for any reason or for no reason at all. If the employer states a reason for termination, that reason cannot be discriminatory – it cannot be based on your age, sex, disability, race, national origin, or marital status. If you employer fires you for failure or refusal to sign a non-compete agreement, the employer’s action would certainly seem unfair, but would likely not be deemed discriminatory (unless there are a lot of other factors involved that you have omitted). Non-compete agreements in Florida are generally enforceable so long as they are reasonable in terms of scope (geographic area and line of business) and duration (length of time). Additionally, there has to be a legitimate business interest. This need not be a trade secret, but could also be confidential business information, customer relationships, goodwill, specialized training, etc. that is protected by the non-compete (Florida Statute 542.335(1)(b)). Florida does NOT require, however, that an employee be given consideration (something valuable to induce you to sign the agreement) in exchange for signing a non-compete, other than continued employment, which courts have deemed to be sufficient. Taking all of this into consideration, one would have to know the reason for the employer’s desire to have you sign a non-compete in order to determine if there is a legitimate business interest to be protected by the non-compete. Keep in mind also that a Florida court, in determining the enforceability of a non-compete, a court “Shall not consider any individualized economic or other hardship that might be caused to the person against whom enforcement is sought” (Florida Statute 542.335(1)(g)1). Whether the non-compete would be valid and enforceable, though, is irrelevant to the employer’s decision to fire you. Under Florida law, you may be fired for not signing a non-compete agreement. You should hire an attorney to read through the non-compete agreement, and negotiate some of its terms if possible. I wish you good luck.
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Earl Mallory ·
Under Florida law, an employer may require an employee to sign a non-compete agreement as condition of continued employment. That being said, you should retain counsel to review the terms of the agreement to advise you on what you might be giving up by signing the agreement. Then, you must make a decision as to whether to accept the agreement and keep the job, or to reject it, and find another job. This response does not create an attorney-client relationship. Unless you are already a client of the Mallory Law Group, pursuant to an executed employment agreement, you should not use, interpret, or rely on this response as legal advice or opinion. Do not act on any information in this response without seeking legal advice. Earl K. Mallory [email protected] (561)743-3708.
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