1. Make sure that the restrictions do not overreach. Reasonable restrictions of time and geographic territory are required in most states including Arizona.
  2. Decide on what you truly want to protect. Focus on legitimate business interest such as confidential and proprietary data and restrictions on soliciting key customers rather than competition per se.
  3. Have different restrictions for owners or former owners of the business as compared to employees.
  4. Include confidentiality and non-disclosure language in your agreements.
  5. Make sure you can salvage an agreement that is determined too restrictive by using “blue pencil” language.

For legal guidance on non-compete agreements, contact Buntrock Law Group.