Non-compete agreements have become increasingly common in the workplace. These agreements are designed to protect businesses from losing valuable clients or employees to competitors. However, the enforceability of non-compete agreements varies from state to state, and in Oregon, there are certain rules and regulations that must be followed.

In Oregon, non-compete agreements are enforceable, but there are limits to their enforceability. Oregon law requires that non-compete agreements be reasonable in scope and duration. This means that the agreement cannot be too broad in terms of the types of activities that are restricted, and it cannot last for an unreasonable amount of time.

Under Oregon law, non-compete agreements are only enforceable if they meet certain criteria. First, the agreement must be in writing and signed by the employee. Second, the employer must have a legitimate business interest in having the employee sign the agreement. This means that the business must have a specific reason for wanting to prevent the employee from competing with them, such as protecting trade secrets or confidential information.

The scope of the non-compete agreement must also be reasonable. This means that the agreement cannot prohibit an employee from working in any job within their industry or any geographic location. The agreement must be specific to the employee’s job duties and must only restrict their ability to work in a particular area or with specific clients.

The duration of the non-compete agreement must also be reasonable. Oregon law states that non-compete agreements cannot last for more than two years after the employee leaves the company. If the agreement is found to be overly broad or unreasonable in scope or duration, the court may refuse to enforce the agreement.

In conclusion, non-compete agreements are enforceable in Oregon, but they must meet certain criteria to be considered valid. Employers must have a legitimate business interest in having employees sign non-compete agreements, and the scope and duration of the agreement must be reasonable. Employees should carefully review any non-compete agreements before signing them and seek legal advice if they have any concerns about the agreement’s enforceability.