Is a non-compete valid if executed basically under duress?

I am a commercial insurance agent. 2 years ago after working in insurance for 14 years with the same agency in Pennsylvania where I was born and raised, my wife and I made a decision to move from Pa to TX. I made numerous inquiries with various employers but only rec'd an offer of real interest from one. Having not been under a non-compete in PA...but knowing that they exist I made one of my conditions of pulling the trigger on this move that I would not consider any offer if there was a non-compete as it would restrict my ability to pursue my career in TX outside of the chosen employer should things not work out... As I looked for more offers we spent months February to August with the employer that I chose, going back and forth with them over possible compensation - mostly by email... I have all those email negotiations in writing . At no time was any "employment agreement" mentioned nor at any time was any "non-compete" mentioned or discussed or agreed upon. After final offer was made...we made the decision to accept. We gave formal notice of acceptance to the TX employer and I I terminated my Pa employment voluntarily and gave my Pa employer 3 weeks notice. After the 3 weeks, we moved to Texas. On my 2nd day of employment in Texas I was presented with an "Employment Agreement" that did not reflect all of what we had negotiated and of course non-compete language that was restrictive. Having already terminated my employment in PA, sold our home, moved to TX we really had no other choice but to sign the agreement. We've tried to make it work....but the Employment Agreement and Non-compete was just the beginning of many surprises not agreed upon. At this point I'd like to leave my employment...but have this Non-Compete to deal with. So, do you think my circumstances would satisfy the definition of duress?

1 answer  |  asked Jan 16, 2015 08:27 AM [EST]  |  applies to Texas

Answers (1)

Neil Klingshirn
I think you have a defense to enforcement, but it's probably not duress. Instead, the defense is lack of consideration for the non-compete It sounds like you had a contract, and the non-compete was not part of it. Unless you got a raise or something of value extra for it, it may fail for lack of consideration.

Talk to a Texas employment lawyer, now. Don't wait until you are ready to leave this employment.

posted by Neil Klingshirn  |  Jan 16, 2015 10:44 AM [EST]

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