non- compete and stipulated damages v. injunctive relief

I have an employment contract that has a non-compete clause as follows: "During the term of employment, and for two (2) years thereafter, employee shall not directly compete with employer within a five (5) mile radius of any employer office where employee generates more than $100,000 per year in receipts. In the event of termination of this agreement, employee agrees to not solicit patients or employees of employer." Later it states, "[I]n the event of breach of this provision, employer shall have the right to prevent further breaches by lawsuit in equity or otherwise, including without limitation prevention by means of injunctive relief."

My issue is: in considering a breach of this covenant by working within a 5 mile radius, will the court likely uphold the clause where there are no stipulated damages? There is language such as "equity" and "injunctive relief." Is this sufficient? All other non-compete clauses in previous contracts have incorporated a stipulated, i.e. agreed upon damages. I guess the injunctive relief would be the problem here and not monetary damages. The injunctive relief would be a court order preventing me from working within that 5 mile radius, correct?

Obviously, I work in the medical field and am considering moving on.

Thanks for your time and help.

Jack

1 answer  |  asked Jul 11, 2005 8:13 PM [EST]  |  applies to Florida

Unlock Non-Compete Agreements: Keys to Escape

Answers (1)

Scott Behren
Non-Compete

Jack,

GIve me a call. I handle a bit of non-compete litigation, but I would need to read the actual agreement and ask you questions, see what your objectives are, etc.

Scott M. Behren, Esq.
(954) 385-5433

posted by Scott Behren  |  Jul 11, 2005 8:24 PM [EST]

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