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Can I require employees to sign non-compete agreements in Oklahoma? What are the requirements?

Yes, you can require employees to sign non-compete agreements in Oklahoma, but there are certain requirements that must be met.

Requirements for Non-Compete Agreements in Oklahoma

According to [15 OKST 219A][1.1], a non-compete agreement between an employer and an employee must meet the following requirements:

  • The agreement must not prohibit the former employee from engaging in the same business as that conducted by the former employer or in a similar business as that conducted by the former employer.
  • The former employee must not directly solicit the sale of goods, services, or a combination of goods and services from the established customers of the former employer.

Any provision in a contract between an employer and an employee that conflicts with these requirements shall be void and unenforceable.

It is important to note that the non-compete agreement must be reasonable in scope, duration, and geographic area. The agreement must also be supported by consideration, such as a job offer or a promotion.

Non-Solicitation Contracts

It is important to note that non-solicitation contracts are not subject to the same requirements as non-compete agreements in Oklahoma. According to [15 OKST 219B][1.2], a contract or contractual provision which prohibits an employee or independent contractor of a person or business from soliciting, directly or indirectly, actively or inactively, the employees or independent contractors of that person or business to become employees or independent contractors of another person or business shall not be construed as a restraint from exercising a lawful profession, trade or business of any kind.

Conclusion

In summary, you can require employees to sign non-compete agreements in Oklahoma, but the agreement must meet certain requirements. The agreement must not prohibit the former employee from engaging in the same or similar business as that conducted by the former employer, and the former employee must not directly solicit the established customers of the former employer. Additionally, the agreement must be reasonable in scope, duration, and geographic area, and must be supported by consideration. Non-solicitation contracts are not subject to the same requirements as non-compete agreements in Oklahoma.

Source(s):
Jurisdiction

Oklahoma