If an employment contract expires, is the non-competition agreement still valid?

If an employment contract has been expired for several months and a new one has not been presented to sign, would the non-compete agreement still be valid if the employee decides to open their own practice (veterinary)? The employer has also cut back pay and has taken away paid time off due to company financial cutbacks (all without a current employment contract).

1 answer  |  asked Mar 15, 2012 06:29 AM [EST]  |  applies to Arizona

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Answers (1)

Francis Fanning
Generally, a non-competition agreement is intended to survive the end of employment, so the fact that your old employment contract expired does not necessarily mean that the non-compete is no longer enforceable. However, it is important to examine the terms of both agreements to determine how the law would apply in your specific case. Specific language in either agreement may answer your question differently, and not all non-competition agreements are enforceable. If the non-compete is enforceable, there may also be a question regarding how the term of the agreement is calculated. I would suggest that you consult an experienced employment attorney for a review of your agreements and the circumstances in which they were negotiated and performed.

posted by Francis Fanning  |  Mar 15, 2012 11:40 AM [EST]

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