Noncompete agreements are becoming more common across a variety of industries. Don’t blindly sign an agreement placed in front of you. Here are five things to know before you sign:
- What’s the radius? Does your agreement only apply locally, or is it broader?
- Whom does it apply to? Ask for a list of companies if possible. Get as specific as you can.
- What’s the duration? Discover the term for the agreement. Anything over a year may be too restrictive.
- When does it apply? Ask if the agreement applies to both voluntary separation and termination.
- What fees apply? Some agreements require employees to pay the organization’s legal fees if there is a violation. Read the fine print.
— Adapted from “What You Need to Know Before Signing a Noncompete Agreement,” Jessica Hullinger, www.fastcompany.com.