Employee Poaching (CONT’D FROM PAGE 24)
AIR CONVEYING CORPORATION is a recognized leader in the industry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than simply a sales organization, we have complete control over the quality of material and products which make up your proposed system. Our equipment is found in Printing, Folding Carton and Corrugated plants throughout the country and the world.
Non-Competes The most powerful restrictive covenant prohibits the employee from accepting employment at a competitor. Called “covenants not to compete,” or “non-competes,” these agreements specify a period of time for the prohibi- tion and a geographic area where the prohibition applies. They usually also prohibit the individual from serving as an independent contractor for, or having any ownership interest in, a competitive organization. “I generally do counsel my clients to have non-com- petes, certainly with their higher-level employees,” says Jeffrey A. Dretler, a partner at Rubin and Rudman, Boston ( rubinrudman.com ). “I think it’s a very important and effec- tive tool for protecting company confidential information and relationships in which they have invested.” So far so good. But employers need to be wary of a not-so-secret vulnerability of these covenants: The possi- bility they will be deemed invalid by a court of law. That’s because such covenants raise concerns about limiting the capacity of employees to earn their livelihoods. Employers can help improve the enforceability of their non-competes by ensuring the terms balance the con- cerns of the employer with the reasonable interests of the employees. “The wider the covenant goes geographically, and the longer the term of the restriction, the less likely the CONTINUED ON PAGE 28
AIR CONVEYING CORPORATION PH: 901-454-5016 FAX: 901-324-7979 e-mail: sales@accfilter.com • www.accfilter.com
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26 March 21, 2022
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