New Idaho Statute Expands Noncompetition Agreements
A new Idaho statute (Idaho Code 44-2701 et seq.) set to go into effect July 1, 2008 defines presumptively reasonable limitations applicable to covenants against competition and solicitation by employees and independent contractors.
Under the statute, a noncompetition period of up to 18 months are presumptively reasonable, as is a geographic scope that includes anywhere the employee provided services or "had a significant presence or influence." The law also encourages courts that find such provisions unreasonable to determine the intent of the parties and modify the covenant to make it enforceable.
This should be good news for Idaho employers, who have historically received with a chilly reception in Idaho courts when trying to enforce noncompetition agreements.
Under the statute, a noncompetition period of up to 18 months are presumptively reasonable, as is a geographic scope that includes anywhere the employee provided services or "had a significant presence or influence." The law also encourages courts that find such provisions unreasonable to determine the intent of the parties and modify the covenant to make it enforceable.
This should be good news for Idaho employers, who have historically received with a chilly reception in Idaho courts when trying to enforce noncompetition agreements.
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