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[UT] [UT] Would I be in violation of my non-compete agreement if a former client contacts me and wants to hire me?

I have a non-compete/solicitation document I signed and I want to know if a former client contacts me and wants to either hire or contract me, would I be in violation?

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Dan
Dan

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Here’s my assessment:

The terms in question appear too broad to be enforceable, so I wouldn’t worry too much.

Courts rarely enforce non-compete clauses unless:

  • They are narrowly tailored in scope, geography, and time.
  • They protect a legitimate business interest.
  • A clause that severely restricts your ability to work is usually unenforceable, especially if the client reaches out to you voluntarily.

(Kasco Services Corp. v. Benson (1992))

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Utah Non-Compete Agreement

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I have a non-compete/solicitation document I signed and I want to know if a former client contacts me and wants to either hire or contract me, would I be in violation?

Lexi

Lexi, Chatbot

I understand your concern about the non-compete agreement.

Have you reviewed the specific terms and restrictions outlined in the document?

I have, but I want more information.

Lexi

Lexi, Chatbot

Could you provide some details on the nature of your previous work with this client and the scope of the non-compete agreement?

I was a consultant with the client before being laid off from the company.

Lexi

Lexi, Chatbot

Is there anything else the employment lawyer should know before I connect you? Rest assured they’ll be able to help with your non-compete agreement.

No.

Lexi

Lexi, Chatbot

Thank you for the information. To provide you with a precise legal perspective, I need to know:

Which state are you in? This is crucial as non-compete agreements are subject to state-specific laws.

I reside in Utah. 

Lexi

Lexi, Chatbot

Thank you. In Utah, non-compete agreements are governed by specific statutes.

Here are some key points:

  • Review the Terms: Check the language for scope, duration, and geographic limits. Utah typically requires these to be reasonable.
  • Legitimate Business Interest: The agreement must protect trade secrets, confidential info, or significant client relationships.
  • Voluntary Contact by Former Client: If the client contacts you voluntarily, it may not be a violation. But you need to verify this against the actual agreement wording.
  • Utah Post-Employment Restrictions Act: Non-competes entered into after May 10, 2016, are usually limited to 1 year.

You can explore a template or resource here: Non-Compete Agreement Form

I still advise showing your agreement to a legal professional.

Dan

Dan

Hello and welcome. My name is Daniel, and I’ve been a licensed lawyer for over 21 years. I’m truly sorry you’re dealing with this and I’ll do my best to help.

To better understand your situation:

  • What is your main concern right now?
  • What result are you hoping to achieve?
Dan

Dan

Here’s my assessment:

The terms in question appear too broad to be enforceable, so I wouldn’t worry too much.

Courts rarely enforce non-compete clauses unless:

  • They are narrowly tailored in scope, geography, and time.
  • They protect a legitimate business interest.
  • A clause that severely restricts your ability to work is usually unenforceable, especially if the client reaches out to you voluntarily.

(Kasco Services Corp. v. Benson (1992))

Dan

Dan

I want to make sure everything is clear. Let me know if you need clarification.

Dan

Dan

29,578 satisfied customers

Dan
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