Goodbye to Non-Compete Agreements in the United States?
A non-competition agreement, also known as a non-compete clause or covenant not to compete, is a contract between an employer and an employee, or between two companies, where one party agrees not to enter into or start a similar profession or trade in competition against the other party for a specific period of time and within a certain geographical area. Featured In The July 2024 Edition Of XBIZ World These agreements are commonly used to protect a company's trade secrets, confidential information, and client relationships. They typically restrict employees from working for a competitor or starting a competing business for a certain period after leaving their current employment. The enforceability of non-compete agreements varies by jurisdiction and must adhere to certain legal standards to be valid. In fact, in some United States jurisdictions such as California, Oklahoma, North Dakota, Montana, Colorado, New Mexico and Oregon, non-compete agreements are generally unenforceable, or disfavored, with limited exceptions. The adult industry is no stranger to non-competes and numerous adult businesses have been the subject of many complex disputes and prolonged litigation between adult entertainment companies and workers for years. The United States Federal government has decided to weigh in on the issue and…
