Non-compete agreements are legal contracts that prohibit an employee from working for a competitor or starting a competing business for a certain period of time after leaving their current employer. These agreements are becoming increasingly common in many industries, particularly in technology, where companies want to protect their intellectual property and trade secrets.

The term “non-compete agreement” is derived from the legal concept of “restraint of trade,” which refers to any agreement or practice that restricts a person`s ability to engage in a particular profession or trade. Non-compete agreements are often used by employers as a way to prevent employees from taking business secrets, customers, and intellectual property to their new positions or ventures.

Non-compete agreements are generally considered to be enforceable as long as they are reasonable in scope and duration. A reasonable non-compete agreement should be narrowly tailored to protect the employer`s legitimate business interests, should not be overly broad or restrictive, and should not unfairly harm the employee`s ability to earn a living.

If you are unsure about the meaning or legality of a non-compete agreement, it is always best to consult an attorney with experience in employment law. A qualified attorney can help you understand your rights and obligations under the agreement and can advise you on the best course of action to take if you believe that the agreement is unenforceable or unfair.

In summary, a non-compete agreement is a legal contract that restricts an employee`s ability to work for a competitor or start a competing business for a certain period of time after leaving their current employer. These agreements are becoming more common in many industries, particularly in technology, and should be carefully reviewed and evaluated by both employees and employers to ensure that they are reasonable and enforceable.