• Facebook
  • Youtube
  • Instagram
  • LinkedIn
Call us now: (602) 344 9865
Chelle Law
  • Home
  • Blog
  • Practice Areas
    • Professional Licensing Board Defense
    • Medical Contract Attorney
      • Physician Contract Attorney
      • Veterinarian Contract Attorney
      • Dentist Contract Attorney
      • Nurse Practitioner Contract Attorney
      • Physician Assistant Contract Attorney
    • Phoenix Criminal Lawyer
    • Scottsdale Criminal Lawyer
    • Fingerprint Card Attorney
      • Arizona Fingerprint Board Attorney
    • Arizona Student Defense
    • Arizona Teacher License Defense
    • Administrative Appeals and Hearings
      • Arizona Office of Administrative Hearings Attorney
      • Arizona DES Hearing Attorney
      • AHCCCS Fair Hearing Attorney
      • Arizona Registrar of Contractors Attorney
      • Arizona DHS Hearing Attorney
      • Arizona Department of Insurance Hearing Attorney
      • Arizona Child Safety Hearing Attorney
      • Arizona Adult Protective Services Hearing
  • Office Locations
    • Chelle Law – Arizona
  • Our Attorneys
    • Robert S. Chelle, Esq.
    • Sara Stark, Esq.
    • Erin Howlett, Esq.
  • Videos
  • Contact Us
  • Search
  • Menu Menu
what makes a non compete unenfor

Non-Compete Enforceability (When Is It UNENFORCEABLE?)

Blog, Employment Contract
What Makes a Non Compete Unenforceable? banner

What are some of the things that can make a non-compete unenforceable?  For the most part, if you’re a professional before you start an employment relationship with an employer, they’re going to make you sign an employment agreement or perhaps an independent contractor agreement. And then within those two documents, there very likely will be non-compete. A non-compete is a restrictive covenant, and there will be a section in your contract about restrictive covenants. These are things that you either can’t do during or after the employment relationship ends. And there are three parts to any non-compete. It’s the scope of it, meaning what is it preventing you from doing, for how long, and then within what geographic area.

Let’s just take a doctor, for instance. Let’s say it’s a general surgeon. The non-compete would say you can’t practice as a general surgeon for one year within 15 miles of your primary practice location. That would be a non-compete. So, what are some things that can make a non-compete unenforceable? Well, first, there are a handful of states where non-competes are completely unenforceable via the statute of that state. You need to first look, am I in a state where non-competes are unenforceable? And if that is the case, then you’re good to go. Even if there’s a non-compete in your contract, it will not be enforced in that state if they’re completely unenforceable. So, that’s the first thing, are you in a state where they’re completely unenforceable anyway? Now, assuming you’re in one of the other 45 states where they are enforceable, the courts and almost any state are going to consider those three things I talked about.

pointing with pen to non compete

So, they’re going to say, is it reasonable in scope? Is it reasonable in time? Is it reasonable in a geographic restriction? Now, this fluctuates from state to state. There is no set rule, meaning, oh, if it’s under one year in more than 20 miles or prohibits just what your primary skill is. There’s no set rule, it’s a case-by-case basis. I guess you must figure out, alright, what is considered reasonable or not? And that’s going to be dependent upon a few things. Let’s say you’re in sales and you do software sales in Atlanta, Georgia. Well, the non-compete could say you can’t do software sales within the county where you currently are located for two years. In that case, it’s probably enforceable. In almost any non-compete, you’d want to keep it down to 12 months, no more than 12 months.

But in that scenario, it’s stopping you from doing the specific thing that you’re doing for them for a reasonable amount of time within a reasonable area. Now, if they said you cannot do sales, meaning any sales for any industry for five years within the entire state of Georgia, well, that would be completely unreasonable and likely not enforceable at all. There will be language in most non-competes that say if a court finds this is not enforceable, then they’ll either offer some alternative options. Meaning, let’s say they say it’s a two-year non-compete. Then they’ll step it down and say, if a court finds two years unenforceable, then it’ll be stepped down to 18. If they find 18 months unenforceable, they’ll step it down to 12. Or if it’s five counties, move it down to one county, or if it’s 50 miles, move it down to 20 miles down to 10, down to five.

question in audience

Most smart employers will put that language in their contracts. What they don’t want to do is have the judge determine specifically what they consider reasonable, and most judges will abide by the terms of a contract if they can. And so, if there is some step down, what exactly the judge will do is they’ll just step down until they find a spot that they think is reasonable. So, some things that would make it unenforceable, as I said before, are if the scope is way too broad, if the time is way too long, or if the geographic limitation is much too far. Those are the three factors. When you’re looking at a non-compete and determining whether it would be enforced or not, those are the three things you need to consider.

I would suggest if you’re concerned about whether something you’re signing is enforceable or not, or if you’re in a state where either it’s enforceable or not, contact an attorney who handles employment contracts and see what they have to say. As I said before, there’s almost no hard fashion rule beyond it being completely unenforceable. It’s more of just a judgment call of, alright, what industry are you in? What’s reasonable within that industry? Are you in a rural community versus New York City? Obviously, 15 miles in New York City is going to be a lot different than if you’re in a rural town in Idaho, where 15 miles there could be no one else for you to compete against, whereas in New York City, that could knock out potentially thousands of opportunities. So, those are all the things that consider whether it is considered unenforceable or enforceable.

Employment Contract Questions?

Contract Review, Termination Issues and more!

Click Here for More Information
August 8, 2022/by admin
Share this entry
  • Share on Facebook
  • Share on LinkedIn
  • Share by Mail
https://www.chellelaw.com/wp-content/uploads/2022/09/what-makes-a-non-compete-unenfor.jpg 720 1280 admin https://www.chellelaw.com/wp-content/uploads/2020/01/cropped-favicon-1-300x300.png admin2022-08-08 20:29:372023-08-25 15:54:51Non-Compete Enforceability (When Is It UNENFORCEABLE?)

Call Us Now: 602.344.9865

Contact Us

If you are in need of assistance or would like to hear more about the services we offer contact Chelle Law today!

Links of Interest

  • Home
  • Dentist Contract Attorney
  • Nurse Practitioner Contract Attorney
  • Optometrist Contract Attorney
  • Physician Contract Attorney
  • Physician Assistant Contract Attorney
  • Veterinarian Contract Attorney
Excellent
Based on 201 reviews
Google
ochikes
ochikes
2023-06-08
Very professional, courteous, quick response, and a Positive outcome with the Board of Nursing. Case dismissed!!! I am glad I contacted Chelle Law. I highly recommend Chelle Law, thank you, Katrina and the entire team. A special thank you to Mr Robert.
Linda Stover
Linda Stover
2023-06-07
Excellent service - fully recommended!!
Psychic Medium
Psychic Medium
2023-06-06
I cannot say enough amazing things about this team! I came in for some clarification on my documents for an application process. I left knowing exactly what I needed to do & feel SO MUCH better about it all. It really pays to have professionals like these help guide you. Also their YouTube videos are incredibly helpful! 10/10
Elani Dodd
Elani Dodd
2023-06-04
I found Chelle Law when looking for a team to review my contract for a nurse practitioner job. I highly recommend the team. The office was quick to answer questions and respond to my emails. Scheduling & payment was simple and straightforward. The hour-long phone meeting with Erin was extremely helpful. Worth the cost. Having someone who understood the legal terms and could clearly help me understand the contract was refreshing. I appreciated her willingness to compare each section against industry norms and make recommendations for negotiations. The post call summary was promptly sent and most helpful - worded in first person to improve my negotiations with my employer.
Gary Miyasaki
Gary Miyasaki
2023-06-03
I had detailed questions about my physician contract. I found Chelle Law through YouTube and realized their team would help me best. Erin was very thorough, patient, and helped answer all my questions. I felt confident about my options after being consulted. Would highly recommend!
vladymir gratia
vladymir gratia
2023-06-03
They reached out back to me fairly quickly and they walked me through the process step by step supplying clear explanations along the way and providing sound advice throughout the entire process. Thank you.
Esmeralda Jonko
Esmeralda Jonko
2023-06-02
Chelle law certainly deserves 5 stars. Working with Katie and Erin was suchba flawless process. Erin did a wonderful job explaining my contract review and Katie explained the entire process to me. Everyone responded to me in a timely fashion. Working with Chelle law was worth every penny. Thank you!
Christine Fernandez
Christine Fernandez
2023-06-01
Great service! Will definitely use them again.
Stacy Lusher
Stacy Lusher
2023-05-25
Amazing All around. They stay on top of everything and keep you updated 100% of the time.
manjusha k
manjusha k
2023-05-17
Great experience with Renne Osipov.Reviewed entire contract in detail.Very professional.

Call Us Today!

602.344.9865

Hours/Office

Monday-Friday: 8:00am-5:00pm (MST/MDT)

Chelle Law 5425 E. Bell Rd, Ste 107

Scottsdale, AZ 85254

Contact Us Today!

5425 E. Bell Rd, Ste 107, Scottsdale, AZ 85254

info@chellelaw.com

Practice Areas

  • Professional Licensing Board Defense
  • Medical Contract Lawyer
  • Administrative Appeals & Hearings
  • Medical Contract Drafting
  • Fingerprint Card Attorney

Office Locations

  • Arizona
  • Indiana

Company

  • Robert S. Chelle, Esq. Founder & CEO
  • Sara Stark, Esq. Attorney
  • Erin Howlett, Esq. Attorney

Resources

  • Blog
  • Contact Us
  • Sitemap

Follow Us

© 2023 Chelle Law. All rights reserved.  Disclaimer & Terms of Use.  Privacy Policy.

Can a Company Make You Sign a Non-Compete After Employment? | Employees Non...can a company make you sign a nocan an employee refuse to sign aCan an Employee Refuse to Sign a Non-Compete | Employment Contracts
Scroll to top

How Much PTO Should a Physician Get Download



How Much PTO Should a Physician Get?

4 Factors to Consider with PTO

How Much Does Tail Insurance Cost Download

How Much Does Tail Insurance Cost for a Physician?

4 Key Aspects of Tail Insurance for Physicians

Physician Contract Review Checklist

Where Should We Send the Physician Contract Checklist?

28 Essential Physician Contract Terms to Put You in a Positive Financial Situation for Years to Come.