New Jersey Restrictive Covenants and Non-Compete Agreements Attorneys
We Draft, Negotiate, and Review Restrictive Covenants, including Non-Competes
Charles Z. Schalk is a New Jersey non-compete agreements attorney with extensive experience handling the full range of contract issues, including and non-compete agreements. Before signing any type of restrictive covenant, it is imperative that you understand the implications. Our firm drafts, negotiates, reviews, and litigate issues related to non-competes and other restrictive covenants. If you have any specific questions about non-competes or any other type of restrictive covenant, we are here to help. Contact us today at (908) 526-0707 to set up a strictly confidential, no obligation consultation.
What is a Restrictive Covenant?
A restrictive covenant in employment law is a clause that limits certain activities of an employee after they leave a company. Broadly speaking, these covenants are designed to protect certain interests of the business. They can be lawful in New Jersey—but they must be reasonable in scope to be enforceable. Some examples of a restrictive covenant in New Jersey include:
- Non-Compete Agreements: Non-compete agreements prevent employees from working in competing businesses within a specific geographic area for a certain period after leaving their job. These agreements are used to protect the employer’s proprietary information or trade secrets that the employee was exposed to during employment.
- Non-Solicitation Agreements: Non-solicitation agreements prohibit former employees from soliciting clients, customers, or other employees of their former employer. The intent is to protect the employer’s business relationships from being undermined by former staff. These agreements typically remain in effect for a defined period of time.
- Non-Dealing Provisions: Non-dealing provisions restrict former employees from engaging in any business transactions with clients or customers of their previous employer, regardless of who initiates contact. This type of covenant is broader than a non-solicitation agreement—if often it applies to any form of business interaction.
- Non-Disparagement Clause: A non-disparagement clause requires employees to refrain from making negative statements about their former employer, including both public declarations and private comments. It is a contract clause that is intended to protect the reputation of the business and its management.
Stay Updated: The FTC Move to Ban Non-Competes, Regulation Block for Now
However, the regulation will not take effect—at least by the originally scheduled date. As reported by the Wall Street Journal, a federal judge in the Northern District of Texas court blocked the FTC’s non-compete ban. In doing so, the court ruled that the federal agency exceeded its statutory authority—finding that the regulation was arbitrary and capricious for failing to provide sufficient evidence or consider alternatives that might focus more narrowly on particularly harmful or broad non-compete clauses. As a result, the ban has been set aside. It is still subject to further appeals and may eventually be headed to the Supreme Court of the United States.
The Bottom Line: Regulations related to non-compete agreements are in a state of flux. Our New Jersey restrictive covenants attorney is carefully monitoring all legal, regulatory, and legislative developments to better serve clients.
All Employment Agreements Should Be Drafted, Negotiated, and Reviewed By a Lawyer
Any employment contract should be drafted, negotiated, and reviewed by an experienced New Jersey employment attorney. As an employee, you should not sign an agreement that includes any type of restrictive covenant without a comprehensive understanding of the impact on your rights and your options. Our New Jersey employment lawyer can help. Whether you are preparing to sign a contract, want to negotiate better terms related to a restrictive covenant, or looking for ways out of an existing agreement, we have the professional knowledge and experience you can trust.
Why Rely On New Jersey Employment Law Attorney Charles Z. Schalk
Employment law matters are complicated. Any contract with a restrictive covenant—non-compete agreement or otherwise—should be handled by an attorney. Charles Z. Schalk is a distinguished New Jersey employment lawyer. A member of the National Employment Lawyers Association, Charles Schalk has the experience that you can depend on. Client testimonials and employment law case results tell the story best. With a committed to taking a proactive and personalized approach to each and every case, Charles Schalk is prepared to:
- Hear your story and answer questions about restrictive covenants;
- Review the proposed or existing employment agreements; and
- Help you draft, negotiate, review, or litigate a restrictive covenant.
Restrictive Covenants in Employment Contracts: Frequently Asked Questions (FAQs)
Should I Sign an Employment Agreement With a Restrictive Covenant?
It depends on the specific terms of the agreement, including the restrictions that might affect your future employment opportunities. You should always consult with a New Jersey employment lawyer who can review the agreement and help you understand the implications.
Is a Restrictive Covenant in an Employment Contract Always Legally Enforceable?
No. Restrictive covenants must meet certain standards in order to be legally valid in New Jersey. As a general matter, a restrictive covenant must be reasonable in terms of duration and geographic scope. If a dispute arises, a New Jersey court may scrutinize a covenant to ensure they protect legitimate business interests without unduly restricting employee rights.
What Happens if I Violate a Restrictive Covenant in an Employment Contract?
The answer depends on the terms of the agreement and the nature of the violation. Minor breaches may not be a big problem. However, the consequences of a violation can also be extremely serious. It could lead to a lawsuit from an employer. You could face major legal liability.
Contact Our New Jersey Restrictive Covenant Employment Lawyer Today
Charles Z. Schalk is a New Jersey non-compete agreement lawyer with the experience needed to draft, negotiate, and review all types of restrictive covenants, including non-compete agreements. Have questions about your rights? We can help. Call us at (908) 526-0707 or contact us online to arrange your confidential consultation. Our team provides employment law support throughout New Jersey.
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