Anyone who works in the business world is likely aware of the importance contracts play in a company's success. In addition to being used to broker the sale or purchase of goods, they also can be used where services are concerned. In the case of certain business positions, contracts are put in place that outline where and when a worker can start a job with a competitor. These contracts are known as non-competes.
Contractual agreements are essential to the running of most businesses. They can be used to achieve a variety of goals for businesses in New York and beyond, including the restriction of certain behaviors. While most commonly heard in connection with employees not being allowed to work in specific occupations for a prescribed period of time, noncompetition agreements can also be written to keep other businesses from participating in certain behaviors.
Two former senior executives at one of the nation's largest banks recently agreed to pay their former employer $20 million to settle the claims brought against them for allegedly violating their non-compete agreements.