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

Yes, employers can require employees to sign non-compete agreements in Virginia, but the agreements must meet certain requirements.

Requirements for non-compete agreements

According to Virginia law, non-compete agreements must meet the following requirements:

1. The agreement must be necessary to protect the employer’s legitimate business interests, such as trade secrets or confidential information.
2. The agreement must be narrowly tailored in terms of time, geographic scope, and the type of activity restricted.
3. The agreement must not be unduly burdensome on the employee’s ability to earn a living.
4. The agreement must be reasonable in light of the public interest.

Virginia Code on non-compete agreements

The Virginia Code states that non-compete agreements must be reasonable in terms of duration, geographic scope, and the type of activity restricted. The Code also requires that the employer provide the employee with notice of the agreement at the time of employment or within a reasonable time thereafter. ^[1.1]

However, it is important to note that certain agreements are prohibited by Virginia law. For example, no person shall require or request that an individual enter into an agreement or sign a document that results in the misclassification of the individual as an independent contractor or otherwise does not accurately reflect the relationship with the employer. ^[2.1]

Additionally, there are specific provisions in the Virginia Code regarding agreements among members or directors of a corporation, agreements signed by organizations of employers or employees, and requirements for abstention from membership or officeholding in a labor union or labor organization. ^[3.1], ^[5.1], ^[1.2], ^[1.3]

In summary, while employers can require employees to sign non-compete agreements in Virginia, the agreements must meet certain requirements and be reasonable. It is important to be aware of the specific provisions in the Virginia Code regarding agreements in order to ensure compliance with the law. ^[1.1], ^[2.1], ^[3.1], ^[5.1], ^[1.2], ^[1.3]

Source(s):

• [1.1] Employers not to require employees to become or remain members of union
• [2.1] Certain agreements prohibited
• [3.1] Member or director agreements
• [5.1] Agreement signed by organization of employers or of employees
• [1.2] Employers not to require abstention from membership or officeholding in union
• [1.3] Employer not to require payment of union dues, etc.

Jurisdiction

Virginia

• Labor