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Enforceability of Non-Compete Clauses

Many companies are incorporating non-compete provisions into their employment agreements. It is almost second nature to just ignore these provisions when reviewing the employment agreement. New hires are more interested in pay and benefits and don’t anticipate they will be fired or need to leave their new place of employment. Texas courts generally disfavor non-compete agreements. However, a non-compete agreement may be determined to be enforceable by a court if it is executed for valid consideration, contains reasonable restrictions on the time period, activity restriction and protects the employer’s legitimate business interests

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