To protect the company`s capital and confidential information, a Texas employer may use a non-compete agreement. A non-compete agreement can be implemented in Texas if it is supported by a valid consideration and it is in time, in space and too brave. In general, Texas law disapproves of contracts and agreements that restrict employee mobility. The Texas Free Enterprise and Antitrust Act of 1983 states that „any contract, combination or conspiracy to restrict trade or commerce is illegal.“ Does the Texas non-competition clause apply to independent contractors and staff? Although there is not much case law on this subject, the answer is almost certainly yes. In a case involving the Fort Worth Court of Appeal, this was a non-competition clause dispute involving an independent contractor. Neither company is trying,… The „otherwise applicable agreement“ simply means that both parties must have made binding commitments. In the 1990s and 2000s, the question of whether there was an „otherwise applicable agreement“ was the subject of much litigation. This was especially true in the context of an employee with bewiller. Instant Technology, an IT staffing company in Chicago, sued five of its former employees after leaving connecting connecting company Connect Search. Former Instant employees, including Elizabeth DeFazio, the company`s vice president of sales and operations, have signed employment contracts promising not to recruit instant customers, recruit Instant employees for other jobs or disclose Instant`s „owner“ information. In her complaint, Instant alleged that she and the other employees had violated all of these agreements. In recent years, Texas courts have expressed support for the employer`s use of non-compete agreements.
The courts have done so by recognizing certain applicability requirements that, in certain circumstances, are implicit in non-competition agreements. Despite this trend, the Federal Court of Appeals, which deals with Texas, ruled in June 2015 that a duty of confidentiality… Even if a non-compete clause is in effect under Texas law, this does not mean that an employer who complains about the application of the agreement automatically takes over. An employee linked to a non-competition may have different defenses. The impure hands of the employer, for example, can be a defense against false relief. Or an employer seeking an injunction may not have suffered irreparable harm or have an appropriate remedy. The facts of each case must be carefully analysed. As a lawyer who often handles contract disputes related to Texas competition contracts, one of the questions I am asked more than anyone (by employers and employees) is: „Is my Texan competition agreement applicable?“ These include the impact of the non-competition agreement on the livelihoods of the person or business with reduced mobility. If a person is a seamstress and has been a tailor throughout his or her life, a non-compete clause, which generally limits that person`s ability to perform tailoring work, is probably invalidated, whereas if the same agreement limited the limitation to thieves alone, for example. B if the person is a tailor, the court will probably find that this scope is so limited that it is valid because it does not limit the tailor.