Legal Question in Employment Law in New Jersey

Hello

I am a part time, hourly, employee of a local physical therapy practice located in New Jersey, and was hired about 4 weeks ago. My new employer wants me to sign a 3 year, 7 mile radius non compete. I bring a special area of physical therapy to the existing practice that was not part of the pre-existing practice. My fear is that I am not ever going to be a full time employee or a part owner, and if the arrangement ultimately becomes unfruitful (either I am terminated, or I quit), I'll be prohibited from working similar part time local arrangements near my home (which was the entire point of moving to this town and working in the area).

Feels aggressive that an hourly/partimer would even be required to sign such a document, but it's apparently non-negotiable. Is it unlikely to be enforceable given it's not full time work?.

Thanks for your help

J


Asked on 3/17/14, 6:53 pm

1 Answer from Attorneys

John Corbett Corbett Law Firm LLC

Restrictive covenants such as the one you are being asked to sign are enforced by the courts if they are reasonable as to time and scope. Here the time is probably excessive. The problem is that in NJ, the judge will substitute a period that the court considers fair. So, either way, you have to defend the suit and there is a period in which you can't work. Your concerns are justified. There is a lot wrong with the deal. If you are bringing the skills, then why should you agree not to compete with them after they have the opportunity to learn from you? Unless you are getting a whole lot of cash or a large salary guarantee, it sounds to me as if the non-compete ought to be the other way around. They should promise not to use the skills that you teach them for a period after you leave. Of course, it never works that way in practice. If it were me, I would stall for time and look for another job. Alternatively, you may be wrong about the agreement being non-negotiable.

See also: http://info.corbettlaw.net/lawguru.htm

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Answered on 3/17/14, 8:06 pm


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