Is it a good idea to place a provision in a non-competition clause that allows the court to amend an agreement that it deems too restrictive? It is a good idea to have your non-competition agreements reviewed regularly to ensure they remain applicable under existing legislation. There is no legal provision that sets the rules for non-compete clauses in Nebraska. The entire law comes from court decisions. As a general rule, non-compete obligations are met as long as they meet three requirements: Nebraska`s legal history of the applicability of non-compete agreements is generally a surprise to employers who view Nebraska as business-friendly. Nebraska courts routinely deny non-compete agreements by employees who dare to prevent staff from doing business with clients and from recruiting clients with whom the employee has done business and had personal contact. As a general rule, where there is a non-competitive component of the contract or if the non-application applies to all clients, Nebraska courts invalidate the entire agreement. Companies that use a single agreement for their Nebraska employees are regularly victims of this surprise. The reaction is usually a fight to argue in a place outside the cornhusker state. In this case, Consolidated Infrastructure Group, Inc., et al. v. USIC, the former and current employer, had a contentious history. After receiving letters of omission, six former employees and the new employer knew that litigation was likely. Of the six, one was a Nebraska resident who lived and worked in Nebraska, and two were Iowans who worked in Nebraska.
The other three former employees did not claim that they worked in Nebraska, nor were they in life. The six, who probably recognize that a Nebraska court can invalidate the non-compete agreement with their former employer, have filed a ruling in federal court in Nebraska. The six asked the Tribunal to cancel their agreements and to charge their former employer with future disputes over restrictive contractual agreements. Almost simultaneously, the former employer filed a complaint against individuals and their new employer in Indiana, choosing the law and forum in the disputed competition bans. So you`re considering asking your employees to sign a non-compete agreement. Are they legitimate? Can you implement them for current employees or just for new employees? What are the rules? How long can you prevent the employee from working for a competitor? Is there anything else I can do to try to prevent a former employee who signed a non-compete clause from recruiting my clients? There`s good news and bad news. Nebraska courts will apply certain types of infringements to competition, but they must be carefully developed and adequately limited. In this article, we will examine some of the most discussed topics in the Nebraska competitions. You can apply for an injunction to try to prevent the former employee from chasing your customers.
However, in order for the court to be able to obtain an injunction, you must provide evidence to prove that, in the event of a trial, you will likely enforce your non-competition prohibitions. You must also prove that you will suffer an irreparable injury if non-competition is not forced. You must also show the difficulties that would be imposed on you by the unfair competition of your ex-employee. Can`t I be competitive with the seller of a company I want to buy? If my company`s head office is located in another state that allows more restrictive provisions than Nebraska, can I include in the agreement a provision that the right of a state other than Nebraska is used to interpret and enforce non-compete clauses? Yes, yes.