- Make sure that the restrictions do not overreach. Reasonable restrictions of time and geographic territory are required in most states including Arizona.
- 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.
- Have different restrictions for owners or former owners of the business as compared to employees.
- Include confidentiality and non-disclosure language in your agreements.
- 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.