Missouri Non-Solicitation Agreements: What You Need to Know

Non-solicitation agreements are becoming increasingly common in the workplace. These agreements are designed to protect companies from losing their clients and employees to competitors. Non-solicitation agreements are legally binding contracts that prevent employees from soliciting clients or employees from their former employer after leaving the company.

If you are an employer in Missouri, it is essential to understand the nuances of non-solicitation agreements. Here is what you need to know:

Legal Framework of Non-Solicitation Agreements in Missouri

Missouri is an at-will employment state, meaning both the employer and employee can terminate the employment relationship at any time without notice. However, non-solicitation agreements are enforceable in Missouri, provided that they are a reasonable and necessary restriction on the employee`s professional activities.

The Missouri Uniform Trade Secrets Act governs non-solicitation agreements in Missouri. According to this act, an employer can prevent a former employee from soliciting its clients if the information shared with the employee was confidential and had independent economic value.

Key Provisions of Non-Solicitation Agreements in Missouri

While drafting a non-solicitation agreement in Missouri, the following provisions must be considered:

1. Scope: The agreement must clearly outline the scope of the non-solicitation clause. For instance, it should specify which activities are prohibited, such as soliciting clients, employees, or vendors.

2. Timeframe: The agreement must address the duration of the non-solicitation period. In Missouri, non-solicitation agreements typically last for six to twelve months.

3. Geographic Area: The agreement should specify the geographic area where the employee is prohibited from soliciting clients. The scope of the geographic area can be broad or limited, depending on the nature of the business.

4. Employee Wages: Non-solicitation agreements must not restrict the employee`s ability to earn a livelihood. Therefore, the agreement must provide reasonable compensation to the employee during the non-solicitation period.

Enforcement of Non-Solicitation Agreements in Missouri

In Missouri, non-solicitation agreements are enforceable if they meet certain conditions. Courts will typically enforce non-solicitation agreements that are:

1. Reasonable in Scope: The agreement must be reasonable and necessary to protect the employer`s legitimate business interests.

2. Limited in Duration: The agreement must be limited in duration, typically six to twelve months in Missouri.

3. Not overly burdensome: Non-solicitation agreements must not prevent the employee from earning a livelihood.

In Conclusion

Non-solicitation agreements are essential tools for protecting a company`s intellectual property and confidential information. Missouri employers should ensure that non-solicitation agreements are reasonable, necessary, and tailored to meet their unique business needs. In doing so, you will protect your company`s interests and help maintain a level playing field in the marketplace.