Do I Need to Sign a Non-Compete Agreement in Illinois?

 Posted on July 18, 2022 in Employment Law

A bill called the Illinois Freedom to Work Act was amended last year and the new changes took effect on January 1, 2022. The amendment addressed several common issues involved in non-compete agreements, including setting minimum salary thresholds for when such agreements are legal, parameters to ensure they are fair, and conditions to protect employees laid off, fired, or furloughed for Covid-19-related situations.

Non-compete contracts can be highly restrictive and it may be in your best interests to negotiate or dispute them. If you are considering signing a non-compete clause, speak with an experienced Illinois business law attorney first. If you have already signed a non-compete clause, a business law attorney may still be able to help you challenge an unfair or illegal contract.

What is a Non-Compete Clause or Agreement?

Depending on the type of agreement, a non-compete clause can restrict an employee from working for another employer in a similar capacity, working in a specific geographic area, or working at all for a specific period of time. These clauses often contain vague language around when the clause can kick in, including being fired or laid off for any reason. Violating the terms of a non-compete agreement can result in serious financial consequences for the employee.

Do I Have to Sign a Non-Compete Agreement?

While a prospective employer can insist that you sign a non-compete agreement as a term of your employment, certain employees cannot be required to sign a non-compete clause in Illinois. For example, employees making less than $75,000, certain construction employees, and employees under collective bargaining agreements cannot enter into noncompete clauses with their employer. Even if your employer’s non-compete agreement is legitimate, you may be able to bargain for a better deal that is less restrictive on your future employment.

If you have already signed a non-compete agreement and it is onerous, unreasonable, or illegal, you may be able to take action. Your employer may decide to take legal action that you can fight. Whatever your situation may be, you need to know your options so you can make informed decisions and protect yourself against predatory or unfair employment practices.

Contact a Wheaton, IL Business Law Attorney

When you run into complex questions about business law, an experienced DuPage County business law attorney with Stock, Carlson & Asso. LLC can answer your questions and provide the representation you need. Take care of your best interests and prevent further problems by calling us now and scheduling your initial consultation today. Contact our offices at 630-665-2500.

Source:

https://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=3737&ChapterID=68