Are non-compete agreements enforceable in Texas?

Contact me today

Answer

Unfortunately, for employees in Texas, non-compete agreements and other restrictive (or protective) covenants have become much more likely to be enforced by Texas courts in recent years. In fact, enforcement actions have become quite common in Texas.

Historically, Texas courts attempted to strike a balance between the benefits of competition and the productivity gained from having key employees with confidential information and client relationships. Today, Texas courts seem to focus on the harm caused to employers when key employees are hired by direct competitors.

While there are some limits on a former employer’s ability to restrain post-employment activities, Texas courts will often reform an overreaching non-compete agreement and enforce the newly revised agreement. However, the payment of damages and attorneys’ fees by the employee to the employer may be avoided if the non-compete agreement is reformed by a judge.

Finally, many of the legal proceedings seeking to enforce non-compete agreements begin as injunctive proceedings where employers seek a restraining order to prevent their former employee from reporting to work with a competitor. In other words, employers may successfully prevent their former employees from going to work, at least on a temporary basis, until a more informed decision can be made by the court.

Needless to say, litigation involving non-compete agreements is expensive for both employers and employees. Sometimes, a business solution and compromise is often the best result. In any event, employees subject to non-compete agreements are strongly urged to seek the advice of counsel before resigning from employment.

Disclaimer:

The answer is intended to be for informational purposes only. It should not be relied on as legal advice, nor construed as a form of attorney-client relationship.

Other answers about employment law - employee

Image for Joseph A. Fitapelli

Do I need an Employment Lawyer in New York?

Most people think to consult a lawyer when something goes wrong; however, lawyers can play an important role in preparing you for many different …Sponsored answer by Joseph A. Fitapelli

Image for Mark S. Siurek

Are non-compete agreements enforceable in Texas?

Unfortunately, for employees in Texas, non-compete agreements and other restrictive (or protective) covenants have become much more likely to be …Sponsored answer by Mark S. Siurek

Image for Mark S. Siurek

How do I negotiate a severance in Texas?

Typically, employees have no legal right to a severance payment at the termination of their employment relationship. Nevertheless, there are a number …Sponsored answer by Mark S. Siurek

Call me:
713-522-0066

Contact me

Required fields are marked with an asterisk (*).

To: Mark S. Siurek Super Lawyers: Potential Client Inquiry

The information contained in this web site is intended to convey general information. It should not be construed as legal advice or opinion. It is not an offer to represent you, nor is it intended to create an attorney-client relationship. The use of the internet or this contact form for communication is not necessarily a secure environment. Contacting a lawyer or law firm email through this service will not create an attorney-client relationship, and information will not necessarily be treated as privileged or confidential.

Your IP address 44.213.63.130 and location have been logged to assist in preventing abuse of this service.

Page Generated: 0.29193782806396 sec