The short answer is yes! And, as much as restrictions on trade are disfavored, courts in Virginia are much more willing to enforce non-compete agreements these days. Under Virginia law, the court will review each non-compete agreement on a case-by-case basis in order to determine 1) whether the agreement is drafted narrowly to protect the employer’s legitimate business interest; 2) whether the agreement is overly broad and/or vague; and 3) whether enforcing the agreement would violate public policy.
Traditionally, clauses that prohibit competition or restrict an employee from pursuing his or her chosen profession are deemed invalid. Court rulings are not always consistent, and unfortunately, there is no bright line litmus test to determine whether your agreement will be deemed valid or reasonable. However, we do have some factors that help us evaluate a non-compete agreement’s enforceability. The court reviews the duration, geographic area and scope of restriction as factors in determining whether or not the agreement is really necessary to serve an employer’s legitimate business interest. In enforcing a non-compete agreement, the court balances an employee’s right to secure gainful employment against his former employer’s legitimate business interests.
Since the employer is enforcing the provisions of the non-compete agreement, it has the burden of proving 1) whether the agreement is valid; 2) whether the provisions of the agreement are reasonable; 3) whether there was a breach of the agreement by the employee ; and 4) whether the employer suffered any damages.
To speak with an attorney about your non-compete agreement, please contact our firm at (703) 319-7868 or info@graceleelaw.com.