Understanding CHOICE Act Injunctions for Non-Compete Violations
The recently enacted Florida Contracts Honoring Opportunity, Investment, Confidentiality, and Economic Growth (CHOICE) Act makes Florida among the most employer-friendly states when it comes to non-compete agreements and garden leave agreements. This is not welcome news for employees in the state, who may now be subject to restrictive covenants that significantly favor their employers and drastically limit their ability to find new employment in a similar field and geographic area. Employees can now have future employment restricted for up to four years, and the CHOICE Act has a presumption that the temporal and geographic scope of the agreement is reasonable and therefore enforceable. In addition, the CHOICE Act has particular provisions for employer enforcement of non-compete agreements entered into under the Act.
What should employees know about the enforcement of non-competes through injunctions? Our Palm Beach Gardens employment law attorneys can tell you more.
Enforcement of Non-Compete Agreements Under the CHOICE Act
In order for a non-compete agreement to be enforceable under the CHOICE Act, the employee against whom the employer wants to enforce the restrictive covenant must first be a “covered” employee according to the Act. Then, the covered employee must have been provided with notice, time to seek legal advice, and other procedural requirements before signing the non-compete agreement in order for it to be enforceable.
Presuming that the requirements have been met for enforceability, if an employer wants to enforce the agreement against an employee, the CHOICE Act makes it easy for employers. More specifically, under the CHOICE Act, if a covered employer seeks to have a non-compete enforced, then the court must preliminarily restrain the covered employee from working for another employer during the notice period. In other words, the court must issue a preliminary injunction against the employee.
How a CHOICE Act Injunction Works
Once an injunction is issued to preliminarily restrain a covered employee from engaging in other work, the employee can only have the injunction modified or dissolved if the employee can prove that it should be modified or dissolved. Further, the evidentiary standard that the employee must meet is a heightened one — the standard of “clear and convincing evidence.”
An employee who has been restrained must show one of the following by clear and convincing evidence in order to have the injunction modified or dissolved:
- Employee will not be using confidential information or the customer relationships from the covered employer, and will not be providing similar services to those of the covered employer;
- Covered employer breached the terms of the employment agreement by failing to pay the employee’s salary or benefits as promised; or
- Employee’s new employer is not doing or preparing to do business activity that is similar to that of the covered employer in the non-compete agreement’s geographic scope.
Contact a Palm Beach Gardens Non-Compete and Contract Law Attorney for Assistance
Employees who are being asked to sign non-compete agreements, or who have questions about the enforcement of a non-compete agreement under the CHOICE Act, should seek legal advice as soon as possible. One of the experienced Palm Beach Gardens non-compete and contract lawyers at Sconzo Law Office can speak with you today to learn more about your particular circumstances and to answer questions you have about restrictive covenants and your rights as an employee in Florida. Contact us today for more information.
Source:
flsenate.gov/Committees/billsummaries/2025/html/3554
