COVID-19 Update
The Tarantino Law Firm, LLP
(716) 849-6500
Menu Contact

Adding a non-compete for current employees

Your employees are a terrific asset. They can help you support a higher volume of client needs and they can help you with areas where you are weak.

Unfortunately, however, employees can also be a risk. No matter what you do, there will be a day when your employees leave your business. Before they leave, you need to make sure your business has the protection it needs if your former employee becomes a new risk.

Here’s what you should think about as you prepare a non-compete agreement for your current employees.

Thorough, but not too strict

The bottom line is that the courts do not want a non-compete to make your employees unable to get a job within the field. Your non-compete agreement should be clear and thorough so that your business has protection, but not so strict that your employee would have to leave the industry to get a new job.

As you consider what to include in your non-compete, you may want to incorporate limitations such as:

  • The time before employees can start their own similar business
  • Distance from the employees work site
  • The time before employees can work for a competitor
  • What information is strictly off-limits for employees to take with them (such as client contact information)

A thorough non-compete also shows that you are interested in protecting your company’s information and what information is most important to you. When your intent is clear in the non-compete agreement, it is easier for the court to uphold it if you need to go to court.

Talk before they sign

When you have a new employee, a non-compete can be part of the negotiation for the position. A future employee can decide to accept or decline the position depending on what is in the non-compete.

For current employees, however, the process is different. Current employees have already agreed to their current working conditions, and a non-compete changes those conditions. If you are going to ask current workers to sign a non-compete, there must be new consideration, such as:

  • Bonuses
  • More desirable hours
  • Extra vacation time
  • Increased pay

Since non-compete agreements are common, they can get confused with paperwork that is simply on file. A non-compete is an important part of the employer-employee negotiations. New York lawmakers are currently considering a provision that would require employees to have 30 days to consider any new non-compete agreement. You and your employees need to discuss the non-compete agreement just as you would their compensation package.

No Comments

Leave a comment
Comment Information

Office Location

1500 Rand Building
14 Lafayette Square
Buffalo, NY 14203

Fax: 716-849-6503
Buffalo Law Office Map


Contact Us Today

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Back to Top