Should I Agree to a Non-Compete Clause?

Have you recently applied for a job in South Florida and received an offer, only to learn that the employer requires you to sign a non-compete clause? Or is your current employer working on renewing expiring employment contracts and now asking you to agree to a non-compete clause? For many years in Florida and throughout the country, there have been disputes about how and when non-compete agreements should be enforced, as well as the scope of enforceable non-compete agreements. While there were recent attempts at the federal level to eradicate non-compete agreements for a wide range of employees, those attempts were ultimately thwarted and no new laws limiting non-compete agreements took effect. And in Florida, in fact, lawmakers made non-compete agreements even more employer-friendly.

Florida’s recently passed CHOICE Act (the Florida Contracts Honoring Opportunity Investment, Confidentiality, and Economic Growth Act) expanded the scope of non-compete agreements and made them even more beneficial to employers and more limiting for employees. In this new landscape of non-compete agreements, you may be wondering: should I agree to a non-compete clause in the employment contract I received?

Never Sign a Non-Compete Agreement or Any Employment Contract Without Having a Lawyer Review it First

First, you should not sign anything until you have had a lawyer who represents your interests review the contract and any related agreements or clauses. It may be that you ultimately decide to agree to the terms of an employment contract containing a non-compete clause, but you should not reach this decision until you have discussed the contract and its consequences with your own employment law attorney. Additionally, your employment law attorney may be able to negotiate terms that are better for you.

Understand the Consequences of Agreeing to a Non-Compete Clause or Agreement 

Before you consider signing a non-compete agreement, it is essential to understand the consequences if you do. The following may be some of the consequences of signing a non-compete agreement now in Florida following the passage of the CHOICE Act if you are a “covered employee” according to the Act:

• Non-compete agreements can last for up four years (double what the law used to be), restricting your future employment for four years after you part ways with your employer;
• You could be prevented from engaging in a similar type of work throughout the state, depending on the area in which your employer is considered to do business; and
• Courts must issue preliminary injunctions to enforce existing non-compete agreement unless you can show by clear and convincing evidence that the agreement should not be enforced.

It will be especially important to work with an attorney to determine if the CHOICE Act will apply to the non-compete agreement you are being asked to sign.

Consequences If You Decide Against Signing the Non-Compete Agreement

If you do not ultimately decide to sign a non-compete agreement or an employment contract with a non-compete clause, the employer likely can decide against hiring you or renewing your contract.

Contact Our Palm Beach Gardens Contracts and Non-Compete Agreement Lawyers for Assistance 

If you are being asked to agree to a non-compete clause, you should seek advice from one of the experienced Palm Beach Gardens contracts and non-compete agreement attorneys at Sconzo Law Office. We may be able to negotiate better terms on your behalf and help you to understand whether it is in your best interest to sign the contract.

Sources:

flsenate.gov/Session/Bill/2025/922

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0500-0599/0542/Sections/0542.335.html