The disclosure requirement is a positive development. As competition bans multiply, they are considered standard contracts in certain sectors. As a result, employees enter into a non-compete clause without it being clear how this will limit their ability to find employment after they leave. By requiring employers to disclose in writing the conditions of non-competition in a timely manner, the law ensures that workers are informed of what they must accept. Some employers require all newly recruited workers to sign a non-compete clause as part of their employment contract. A non-competition clause is a legally binding agreement whereby the contract agent does not enter into a relationship or provides services to another employer in the same sector or territory while employed by the former. You may also indicate that the worker cannot work with another employer in the sector or in the area after the termination of his or her employment with the original employer for a period of time. Moonlighting is where an employee works more than a job. The Competition Restrictions Act ensures that some low wages can be easily disseminated by their employer. A non-compete agreement is an instrument that many employers use to protect themselves from workers who leave after the company has spent time and money on training.
Often, employees will work for a competitor, which means that the company does see a negative return. A non-invitation contract is a document in which the employee accepts that he or she does not actively debauch customers or employees of a company after a specified period of time. In essence, these agreements prevent former employees from “stealing” customers or talent recently. In addition to the new rules, there is also a new way to take legal action for “a person in the throes of a competitive alliance.” Workers can now sue employers if they are subject to a non-compete clause that does not comply with the new laws. Employees are entitled to a higher injury of $US 5,000 or actual damages, plus legal fees and fees. Regardless of your personal beliefs about competition bans, you need to know what impact the recent changes to the Washington State Law will have on your business. A new non-competition law in Washington, which covers both existing and new agreements, came into force on January 1, 2020. Employers who have used non-competition bans in the past are notably warned to take into account their existing agreements – the new law applies retroactively to agreements reached before 1 January 2020 comes into force and there are penalties for attempts to push beyond what is permitted by the new law. Zillow Group and Compass settle the dispute between real estate employees who earn less than the minimum wage for non-competitors can continue to sign non-invitation agreements. While non-injunction agreements are not as restrictive as non-competition agreements, they may allay some of the concerns of employers. One of the features of the law is the presumption that non-competition prohibitions more than 18 months after employment are inappropriate and unenforceable. This presumption can be rebutted, but only by clear and convincing evidence (a fairly high burden of proof) that a longer period of time is required to protect the transactions or the value of the party.
HKM Employment Attorneys LLP can help you if you are faced with an inappropriate non-compete clause. Our team of lawyers can help you and your employer get a better deal. To learn more about this process, call HKM Employment Attorneys LLP at 206-838-2504. NEW LAW, NEW TERMS Under the new Washington Non-Competition Agreements Act, which will come into force on January 1, 2020, non-competition bans will only apply if: the question of whether non-invitation agreements are applied continues to decide whether they are deemed appropriate, a vague standard that typically is the duration of the application field