No-compete with incorrect verbal explanation

I was given a fairly standard no-compete contract, before signing, i was told (by my boss) that every employee would be required to sign. Three years later, i find out that not every employee signed this same contract. Does this make my contract void based on the fact that he told me and other employees that everyone will be signing it?

1 answer  |  asked Mar 25, 2008 3:46 PM [EST]  |  applies to Wisconsin

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Answers (1)

Shannon McDonald
Non Compete Agreement

The simple answer to your question is no. The fact that the employer told you one thing at the beginning of your employment and did another does not invalidate the non compete agreement. Likewise, the fact that other employees were not required to sign the same non compete agreement does not, in itself, invalidate the covenant not to compete. Having said that, the court will look to what you were told at the time you signed the agreement, what others were told at the time they were presented with the agreement, whether all employees in your position or substantially related positions were required to sign non compete agreements, whether the employer enforced its threat to sign the agreement or not be employed, etc. This list is not exhaustive by any means, and the court will apply the standard 5-factor test to determine whether the non compete agreement you signed holds water in the State of Wisconsin. The State of Wisconsin disfavors such agreements and encourages the mobility of workers. Therefore, if the non compete agreement you signed fails one of the 5 factors, the entire agreement is void.

posted by Shannon McDonald  |  Mar 25, 2008 3:59 PM [EST]

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