Legal Question in Employment Law in Georgia

Re: Non-Solicitation vs. Non-Compete

We don't know what it means, as we do not have the agreement and you did not tell us what it says. The intent is generally to restrict such things as you going to a competitor, going after the old employer's customers, etc. The repercussions may include you getting sued, potentially getting the new employer sued, and finding yourself out of that business to the extent your agreement provides. A google search for these terms may provide additional information.

Re: Non-Solicitation vs. Non-Compete

You should have the agreement reviewed by an attorney to determine whether it is enforceable, which may depend greatly on which state's laws apply. Georgia generally looks unfavorably on non-competes in employment agreements. Non-solicitation tend to be enforced more often.

If you would like to discuss any issues further, please feel free to contact my office. My contact information is below. Thank you.

The foregoing is general information only, not specific legal advice. No attorney/client relation has been created or should be implied.

Re: Non-Solicitation vs. Non-Compete

Glenn is correct that nonsolicitation agreements are more often enforceable than noncompetes if Georgia law applies. However, a properly drafted noncompete may also be enforceable in Georgia, but at least 80% of the ones I review for clients are not enforceable in Georgia. It's more like 40% for nonsolicitation agreements. In addition, if the noncompete is not enforceable, it may be that the nonsolicitation portion is thrown out as well, depending on the contract.

It is also important to determine whether Georgia or some other state's laws apply to the contract. If the contract states that another state's laws apply, AND if there is an exclusive jurisdiction provision in the contract (language stating that any litigation regarding the contract must take place in some other state), the other state's laws may apply. Since most other states more readily enforce noncompetes, this issue is important. If the contract states that some other state's laws apply but does not have this exclusive jurisdiction language, the chances are very good that Georgia courts would apply Georgia law rather than the other state's law.

Glenn and Scott are correct that you can't be sure about enforceability and the impacts to your job decisions without taking this to an attorney who knows a lot about restrictive covenant law.

Fee free to contact me if you have additional questions.

Re: Non-Solicitation vs. Non-Compete

I'll add one more thing to my response, and the other good responses from Mr. Lyon and Mr. Kent. Whether or not it is enforceable may turn out to not be relevant. When the new employer finds out about the contract, especially if the notice comes from the prior employer or their lawyer, thy will often terminate the employee immediately to avoid a lawsuit. It may not matter if it is or is not legally enforceable.