A requirement for noncompete agreements is that the employer must have a legitimate business interest for requiring one.
What Is a Non-Compete Agreement?
In law, a non-compete agreement refers to a legal agreement or clause in a contract specifying that an employee must not enter into competition with an employer after the employment period is over. These kind of agreements also prohibit the employee from revealing proprietary information or secrets to any other parties during or after employment.
An employers may also require an employees to sign non-compete agreements to keep their place in the market and those required to sign these agreements may include employees, contractors, and consultants.
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