Although non-compete agreements are generally disfavored in Tennesee because they cause restraints on trade, they are still legally enforceable documents. Non-compete agreements protect trade secrets, confidential information, information about the employer's customers, retention of existing customers, and investment in training or enhancing the employee's skills and experience.
The restrictions must be reasonable and cannot create an undue economic hardship on the employee. It also cannot be adverse to the public interest. In certain circumstances, physicians are exempt from non-compete agreements.
Protect your Tennessee business by also using a Tennessee non-disclosure agreement form. Download a Tennessee non-disclosure agreement form now!
To write a Tennessee non-compete agreement, include the following clauses:
The employer and the employee should sign and print their names. The signatures should be dated. Finally, each party should receive a copy of the executed contract for their records.