Are non-compete agreements enforceable if you resign?

If a professional leaves their position, does a non-compete still apply? If you’ve accepted a job, they’ve probably asked you to sign an employment contract, and if you work in sales or healthcare, that employment contract probably contains a non-compete clause. A non-compete clause restricts your ability to perform something throughout the period of the contract or after it expires. 

To get started, speak with a knowledgeable Charlotte non-competition agreement attorney who can evaluate the contract and advise you.

Methods to End a Contract

One, the original period expires, and no language allows for renewal. Thus your agreement is binding. There is nothing there that renews itself on its own. Both parties are unwilling to extend the three-year period. That’s it; the deal is over. Terminate a contract voluntarily. Any contract can be ended if both parties agree to do so. That’s another approach, then.

Another option is with-cause, which means that one of the parties violated the contract. In this case, the offending party was probably given a period of time to correct the violation or agreement, i.e., to fix the issue. If they don’t, the other party has the right to end the contract instantly. Then comes the crucial clause—termination without cause. And as a result, either party may end the contract at any moment and for any cause by giving the other party a certain period of notice.

Agreement Notice

Depending on your sector, most contracts require a 30 to the 90-day notice period. You’ll be on the bottom end if you work in sales. If you work in healthcare as a doctor, 60 to 90 is typical to help with concerns related to continuity of treatment. Resignation signifies the termination of the contract without cause.

Use of the non-compete clause

The non-compete will still be in effect if the professional decides to end the agreement without cause. The only situation in which the contract’s language might say it won’t be used is if the employee terminates the agreement for a good reason, which means the employer has broken certain terms of the agreement, is in breach of the agreement and doesn’t make good on the breach. The agreement will then be promptly terminated by the employee. Additionally, it’s common for the non-compete to include wording stating that it will still be in effect if the employee ends the contract for good reason.

Read Also: Hire a skilled attorney for your debt collection lawsuit in Chicago

Previous Post
Next Post