Non-Competes

We are experts in both preparing and fighting non-compete agreements. If you are dealing with a non-compete agreement either as an employee or employer, we can help you navigate the perplexing area of employment law.

Understanding Non-Compete Agreements in Washington State

In Washington, non-compete agreements are governed by Revised Code of Washington (RCW) 49.62. These agreements limit an employee's ability to engage in competitive activities with a former employer for a specified period of time and within a defined geographical area after leaving their current job. The primary goal is to protect legitimate business interests, such as trade secrets, confidential information, customer relationships, and specialized training.

Enforceability and Reasonableness under RCW 49.62:

Under RCW 49.62, non-compete agreements are subject to certain requirements to be deemed enforceable. It is crucial for employees and employers to consider the following factors:

1.      Reasonable Scope: Non-compete agreements must have reasonable geographic and temporal restrictions. The geographical limitations should be narrowly tailored to protect the employer's business interests, and the duration should not exceed what is necessary to safeguard those interests.

2.      Legitimate Business Interests: RCW 49.62 requires that non-compete agreements protect the employer's legitimate business interests. These interests typically include trade secrets, confidential information, goodwill, specialized training, or unique business relationships.

3.      Independent Consideration: To be enforceable, a non-compete agreement must be supported by independent consideration, such as a promotion, salary increase, or other benefits beyond mere continued employment.

4.      Notice Requirement: Employers must provide the employee with specific written notice of the non-compete terms before the employee accepts the offer of employment. The agreement should be presented in a manner that allows the employee to fully understand its implications.

Equity and Public Policy

RCW 49.62 emphasizes the need for equity and protection of public policy interests. Washington Courts will carefully balance the interests of the employer and employee to ensure that the agreement is fair and does not unduly restrict the employee's ability to earn a living.

Seeking Legal Guidance

Navigating non-compete agreements can be complex, and it's prudent to seek legal advice when faced with such agreements. An experienced employment lawyer familiar with Washington State law can evaluate the specific details of your agreement, provide personalized guidance, and help protect your rights and/or your business.