New Jersey Non-Solicitation Agreement Attorneys Advise Workers on Post-Termination Restrictions

Hackensack employment lawyers help protect departing employees from liability

Employers often require their employees to sign agreements that prohibit or limit trying to persuade the employers’ clients and customers from following an employee who leaves the firm. Departing employees who violate non-solicitation agreements can face costly consequences. If you are subject to such a restriction, the New Jersey non-solicitation agreement attorneys at Deutsch Atkins & Kleinfeldt, P.C. in Hackensack can give you reliable advice and assistance in protecting yourself from adverse consequences.

What is a non-solicitation agreement?

A non-solicitation agreement prohibits employees who leave a company from trying to take customers or clients with them. Such an agreement might cover these actions:

• Taking business records useful for soliciting customers or clients
• Giving a competitor information it can use to solicit them
• Disclosing the employer’s trade secrets to competitors
• Soliciting other employees to leave the company

If you breach a non-solicitation agreement, you may be liable for damages for the loss of business you caused to the company. We can help you avoid this problem by reviewing and carefully explaining your duties under the agreement.

Primary provisions in non-solicitation agreements

A non-solicitation agreement typically includes provisions addressing the following subjects:

• A definition of non-solicitation
• The time period during which the employee may not solicit
• The geographical range in which the employee may not solicit
• Exceptions to the prohibition on solicitation
• Remedies for breach of the agreement

Note that the agreement does not prevent telling customers, clients or other employees that the employee is leaving the company, as long as there is no invitation for them to follow.

Enforceability of non-solicitation agreements in New Jersey

A non-solicitation agreement, like a non-compete agreement, must satisfy certain criteria in order to be enforceable. The agreement must:

• Have a valid business reason — The company must have a good reason to prohibit you from soliciting its customers or employees, such as protecting a valuable customer base that’s expensive to rebuild if lost, or preventing the loss of employees with special skills the company needs.
• Be limited to active solicitation — The agreement can’t prevent customers or employees from leaving the company of their own accord, even if they follow you to your new employer, as long as you didn’t actively take measures to lure them.

We can determine if your non-solicitation agreement is too broad or vague to be enforceable under New Jersey law and can advise you on your best course of action.

Defending against violations of non-solicitation agreements

If your former employer sues you for allegedly violating a non-solicitation agreement, the court may issue a temporary restraining order against any further solicitation on your part. If your employer proves its case, its potential remedies include:

• A permanent injunction against your continued violation of the agreement
• Monetary compensation for damages resulting from your violation
• Liquidated damages specified in the contract

We will defend you in the lawsuit with the goal of helping you avoid a serious impact on your ability to earn a living and a potentially heavy monetary judgment.

Soliciting a former company’s employees

If your non-solicitation agreement prohibits soliciting your former employer’s employees, you should avoid such contacts until either the agreement expires or after the employees no longer work your former company in any capacity.

Contact a New Jersey employment agreement attorney

If you signed a non-solicitation agreement, the experienced attorneys at Deutsch Atkins & Kleinfeldt, P.C. in Hackensack, New Jersey can offer you sound guidance and legal representation. To schedule a consultation, call 551-245-8894 or contact us online.