Can a non-compete agreement be enforceable in PA?

Pennsylvania courts do not always side with employers when it comes to non-compete agreements. Courts routinely find unreasonable non-competes to be unenforceable. In some cases, these clauses are found to be non-enforceable because of how an employee left their employment. For example, in the case of Insulation Corporation of America v.

When to sign a non-compete agreement with an employer?

Non-compete laws allow employers to add these clauses to employment contracts. In most cases, employees get no extra compensation when signing these agreements at the beginning of their employment. This means you may be giving up future flexibility, job opportunities and negotiating power without getting anything in return.

Can a Wisconsin employer void a non-compete agreement?

At the other extreme, the Wisconsin Supreme Court has held that there is no minimum amount of additional employment required, but if an employer terminates an employee shortly after executing the non-compete the employee may be able to void the agreement based on fraudulent inducement.

What should be included in a non competition agreement?

For Non-Competes obtained from newly hired employees, usually the agreement only needs to state that the employer’s willingness to hire the employee is the value exchanged for the employee’s agreement not to compete. For existing employees, however, additional consideration is required to make an agreement enforceable.

Is a non-compete agreement enforceable in Pennsylvania?

If you find yourself confined on the job front because of a non-compete agreement you signed with a former employer you may be wondering “Are non-compete agreement enforceable in Pennsylvania?”

Can a non compete clause be challenged for lack of consideration?

The Pennsylvania Supreme Court recently affirmed a decision of the Superior Court, holding that an employment agreement that contains a non-compete clause, signed by an employee after commencing his employment, may be challenged for lack of consideration, even if it contains language stating that the parties “intend to be legally bound.”

What was the non-compete agreement in the socko case?

In the Socko case, a basement waterproofing business hired a salesman and subsequently required him to sign a non-competition agreement. The salesman did not receive any additional compensation or improvement in employment status by signing this agreement.