We represent employers and individuals in the review, negotiation, drafting and litigation of Georgia non compete agreements in Atlanta, Georgia and beyond. We also provide similar work with respect to Georgia non solicitation agreements, confidentiality agreements and related intellectual property agreements in Atlanta, Georgia.

Georgia Non-compete law can be very difficult to navigate. Whether you have been presented with a non-compete agreement from your employer that you are asked to sign, or if you are a small business, middle market company or Fortune 500 Corporation that wishes to protect its intellectual property, resources and good-will, we can provide you with cost effective review and analysis.  When necessary, we can also defend or enforce your legal rights.

A covenant not to compete, or non compete agreement, is a promise by an employee not to compete with his or her employer for a certain time, in a defined geographic place or in a particular way. A non-compete clause may be contained in an employment contract or it may be a stand-alone agreement in a separate document. Either way, unless the agreement is narrowly tailored to protect only the employers’ necessary interest, it may not be enforceable in Georgia. That is, the agreement must be “reasonable.” When analyzing the reasonableness of a non-compete agreement, Georgia courts generally look at three factors: the duration of the agreement, the territorial scope of the agreement and the scope of prohibited activity.

Georgia non-compete law has undergone a dramatic change. In November, 2010, voters approved a constitutional amendment to dramatically alter Georgia non-compete law. It is very important to examine your current non-compete agreements to determine if they comply with the new law. Given these changes, it is advisable to have an Atlanta non-compete attorney or Georgia non-compete lawyer assist you in examining this state specific law. We will be happy to examine your existing non-compete agreement, non-solicitation agreement, confidentiality agreement or other intellectual property agreement to provide you with legal advice regarding its enforceability and to revise the agreements if necessary.

May 11, 2011 Update.  If you still believe the new non-compete law in Georgia went into effect on November 2, 2011, think again? This may not be the case.

Be careful: It is official, Georgia’s new non-compete law is valid, at least for agreements entered into after May 11, 2011.  On that date, Georgia Governor Nathan Deal signed House Bill 30, Georgia's new restrictive covenants statute. The signing by Governor Deal brings clarity to this new law and the procedural issues that have plagued it.  Many employers rushed to have their employees sign new non compete agreements after January 1, 2011, but there is a question as to whether agreements signed after that date and before May 11, 2001 will be interpreted under the new law or the prior Georgia non compete law.  But what is clear is that the new law governs non competes and other restrictive covenants signed after May 11, 2011.

How should you react to this new law? If you’re an employee considering leaving your employer, you should seek professional advice to determine the likelihood that your non compete is enforceable. You should think carefully about whether you want to sign on to a new Georgia non compete or non solicitation agreement. If you are an employer, review your existing agreements and determine whether they are enforceable and whether you need to have new agreements in place. It is now time for businesses with employees in Georgia to dust off their restrictive covenant agreements. Georgia law does not require "additional consideration" to support a new agreement signed by a current employee. So if there is any question as to whether an agreement signed by an employee is valid or whether it really provides the company with the protection it needs, the time is ripe to solidify the situation with a new agreement.

But when drafting new agreements, businesses should be careful about getting too greedy. The law does not require judges to modify over broad covenants.  Rather, any needed modifications are left to the discretion of the judges. Given the strict scrutiny with which Georgia judges have been reviewing non-competes for decades, only time will tell how willing they will be to engage in modification efforts.

Here’s what the new law generally provides:

Reasonably restrictive noncompete agreements will be enforceable.

1.    A two-year post-employment non competition covenant is presumed valid;

2.    Three-year post-employment customer non solicitation and employee non recruitment covenants are presumed valid.

3.  New clarity regarding employment-based non competition,  non-recruitment and non solicitation  agreements.

4.     Courts may partially enforce restrictive covenants.  Court’s may examine whether there is “extreme hardship”  when doing so.

Call the Atlanta non-compete lawyers at 678-710-8244.