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  2. Oct 17, 2023 · How To Know if a Non-Compete Agreement Is Reasonable. LawDepot, October 17, 2023. “A Non-Compete Agreement restricts an employee from entering into competition with an employer after their employment period ends. Some Non-Compete Agreements can be unreasonable and limit your future job prospects.”.

    • Are Non-Competes Enforceable in Oregon?
    • Burden of Proof
    • Continued Employment
    • Maximum Term
    • Blue Penciling

    Yes, under limited circumstances. Non-competes are enforceable if they are: 1. Limited to a particular amount of time or a specific territory; 2. Made for valid consideration; and 3. Reasonable, meaning it adequately protects a legitimate business interest but is not so extensive as to interfere with the public interest. Nike, Inc. v. McCarthy (200...

    Once a former employee chooses to treat a non-compete agreement as void, the employer must prove that the agreement is valid and enforceable. (Oregon Psychiatric Partners, LLP v. Henry (2022)).

    Oregon requires a “bona fide advancement” for a non-compete to be enforceable against an employee working for the same firm, so continued employment is not adequate consideration to support a non-compete agreement. Or. Rev. Stat. Ann. § 653.295(1)(a)(B)

    In an employment agreement, non-competes may be enforced for up to one year. Or. Rev. Stat. Ann. § 653.295(3).

    Where a portion of a non-compete agreement is unreasonable, but the parties’ intent is clear, Oregon courts will enforce the agreement to the extent that it is reasonable. In Kelite Products v. Brandt (1956), the Oregon Supreme Court stated that a reasonable time restriction, although absent from the agreement’s text, was “implied” by a review of t...

  3. Is a Non-Compete Agreement Enforceable in Oregon? Yes. In Oregon, non-compete agreements can be used to protect an employer’s business interests against a former employee.

  4. It is prohibited for a former employee to compete with their current employer for a particular time after signing a non-competition agreement (also known as a non-compete agreement). As a result, the employee’s access to private information and trade secrets during their employment is protected.

  5. Oregon’s current statute’s use ofgarden leave” permits employers to enforce non-compete agreements despite violating either of two specific statutory requirements: That the employee be paid on an exempt, salary basis; and. That the employee be paid a minimum compensation (discussed above).

  6. Jan 19, 2022 · Coupled with existing limitations in ORS 653.295, the newly-effective amendments mean that a non-compete entered into with an Oregon employee after January 1, 2022 will be “void” ab initio...

  7. Jan 20, 2016 · A noncompetition agreement in Oregon between an employee and his or her employer (entered into prior to January 1, 2008) is only valid if it was entered into at the beginning of employment, or it was entered into upon a promotion to a new position (which must be a bona fide advancement).

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