Stop Sign: How to Handle Non-Competes and Other Restrictions When Changing Jobs 1 Credit
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When we receive a job offer and are excited to accept, we don’t always pay attention to the restrictive covenants that could impact our ability to change jobs in the future.Â
Restrictive covenants are often a condition of new employment or can be presented to existing employees after they are already on the job. They can also be required of independent contractors. The most commonly known restriction – a Non-Compete Agreement – limits departing workers from taking a job with or owning an interest in a business that is in the same industry as our current job. Regardless of whether we work as an employee or independently, restrictions can limit our ability to move on to new positions.
Covenants can take many forms, usually in the following categories:
Restrictive covenants usually restrain workers for a set period (often years) from working in a certain type of business within a specified geographic region (that can be narrow or broad). Whether these restrictions can be enforced, where they can be enforced, and other consequences are important issues we need to consider before limiting our options to earn a living. We also need to consider them before accepting a new position. Â
There are serious considerations for employers and business owners who want to bind workers to these restrictions at the outset, after hiring, or when the employee leaves. Employers also need to consider whether a potential hire is subject to restrictive covenants that will be broken if the new hire joins the company. Everyone involved in these situations should be aware of their rights and responsibilities to avoid being dragged into court and facing legal consequences.
Join this CPE Business Law webinar, if you are a business owner or manager, you need to understand the issues related to restrictive covenants so that you do not find your business on the wrong side of the equation.
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Francine Friedman Griesing is the founder of Griesing Law, LLC, is a full-service women-owned and operated law firm based in Philadelphia, Pennsylvania with satellite offices in Arizona, New, Jersey, New York, and Ohio. She is a strategic advisor to executives and general counsel at the country’s largest institutions with 40 years of experience representing clients in business transactions, commercial litigation, employment matters, and alternate dispute resolution. She serves as an arbitrator and mediator, primarily in employment and business disputes and has extensive experience conducting proceedings remotely.
Fran is a highly sought speaker and writer and has received recognition for her accomplishments as both an attorney and an entrepreneur. She was recognized by Francine Griesing was chosen by The Philadelphia Inquirer as a Lifetime Achiever for the Law (2018) and Diversity and Inclusion (2019). Fran was also shortlisted as Diversity & Inclusion Lawyer of the Year (2020) and the Firm was shortlisted as Outstanding Firm for Furthering Diversity & Inclusion by Chambers Diversity & Inclusion Awards North America (2020-2021). The Philadelphia Business Journal also recognized Fran as one of the region’s Most Admired CEOs for her protecting her team and managing the Firm during the pandemic. In addition, the Firm received the Pennsylvania Bar Association’s H. Robert Fiebach Award (2021), which recognizes Pennsylvania law firms that have implemented initiatives to help women attorneys advance their careers. Furthermore, the Firm was awarded by in-house counsel as the National Association of Minority and Women Owned Law Firms’ Law Firm MVP (2013) and as SmartCEO’s Philadelphia Law Firm of the Year (2014).
Fran is an honors graduate of Binghamton University and the University of Pennsylvania Law School and is admitted to practice in Arizona, New York and Pennsylvania.
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Fantastic presentation chock full of pertinent information. Concise, clear, well detailed presentation with helpful, interesting handouts. Presentation extremely well articulated & appreciated. Thank you.
The presenter gave a solid foundational course in Covenants needed by many CPA's as a structural basis for deeper understanding. Perfect information presented for CPA's.
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