Non-Compete Covenants

Non-Compete Covenants Attorneys in Indiana

Attorneys Providing Representation for Non-Compete Covenants in Indiana and the Surrounding Areas

A non-compete covenant, also sometimes known as a non-compete clause, is an agreement that is generally included in an employment contract to protect a company's investment in the employee by prohibiting him or her from working with competing companies for a specified length of time after leaving the company. As an employer, including non-compete covenants in your contracts can be one of the most important tools you utilize to keep your business competitive.

However, these clauses are only valid if they meet certain conditions. Namely, your clause is only valid if it can be determined to be “reasonable.” If the non-compete covenant you include in an employment contract is determined to be unreasonable, the employee has the right to act against its stipulations for his or her own benefit. He or she also has the right to work with an employment attorney to draft a new, more reasonable version of the covenant. As a business owner, it is well within your right to bring a non-complete clause issue to court to protect your interests. It is important that the non-compete covenant you draft is reasonable. Reasonableness is key to enforceability with this and other clauses that may be included in employment contracts.

At Due Doyle Fanning & Alderfer, LLP, we provide skilled legal guidance when business owners encounter difficulties with non-compete covenants. We represent business litigation matters relating to a non-compete covenant which is being disputed or has been violated. Our attorneys provide uncompromising representation in the courtroom when litigation is necessary to resolve conflicts relating to business issues.

Issues Generally Covered in Non-Compete Covenants

Most non-compete covenants include the following restrictions on the employment an individual may seek after his or her termination from the company:

  • A physical radius in which he or she may not seek work in the same field;
  • A length of time he or she may not seek work within the same field; and
  • Skills that he or she may not offer to employers during this time frame. This includes certain roles at companies or even entire industries.

What is Reasonable for a Non-Compete Covenant?

While drafting your proposed non-compete covenant, consider the following:

  • Would remaining out of the workforce for the length of time specified ruin an employee's career?
  • Is the geographical location so great that it includes areas beyond your company's competition?
  • Are the skills you are protecting truly unique, specialized, and expensive to develop, or are they somewhat common skills that the employee could reasonably have developed elsewhere?

This covenant is designed to protect the investment you make in your employees through specialized training. Certain skills take time, money, and resources to develop in a new employee and if that employee leaves shortly after his or her training for another company, you could lose a significant amount of money. But you also cannot create a covenant that is so restrictive that it sabotages your employees' careers. They have the right to seek productive work after their time with your company.

Employment Attorneys in Indianapolis

As an employer, a valid non-compete covenant can be one of your greatest assets. For guidance with writing this type of clause, contact Due Doyle Fanning & Alderfer, LLP at 317-635-7700. We can help determine a reasonable, enforceable non-compete covenant that protects your company while still allowing your employees to pursue their careers to the fullest. Creating this type of agreement can be a delicate balancing act, and we are here to guide you through it.

900 Circle Tower Building
55 Monument Circle
Indianapolis, IN 46204
317-636-2408