Non-Compete Agreement Kentucky Law

When you are starting a new job, it is quite common for employers to ask you to sign a non-compete agreement. This agreement is supposed to prevent employees from leveraging their knowledge of a company`s trade secrets and confidential information to start their own competing business or work for a rival company. However, non-compete agreements can also be used to restrict an employee`s ability to find work in their field for a certain period of time after leaving their current job.

If you are currently living and working in Kentucky, it is important to be aware of the state`s specific laws regarding non-compete agreements. Here is everything you need to know about non-compete agreement Kentucky law.

A non-compete agreement in Kentucky is only enforceable if:

– The employee is working in a “protectable interest” job: In Kentucky, the only protectable interests are trade secrets, confidential information, and goodwill. This means that in order for a non-compete agreement to be enforceable, the employer must prove that the employee has access to sensitive information that could harm the company if they were to leave and work for a competitor.

– The employee is not bound to the agreement for too long: Non-compete agreements in Kentucky cannot last for more than two years, or in some cases, up to five years if the employee was involved in an internship or apprenticeship. However, if the agreement lasts longer than it should, it may not be enforceable.

– The employee is not restricted from working in other industries: In most cases, non-compete agreements in Kentucky cannot restrict the employee from working in similar industries, but only from working for direct competitors.

It is important to note that Kentucky`s laws regarding non-compete agreements are relatively strict compared to some other states. As an employee, it is important to read the agreement carefully and understand your rights before signing anything. You may also want to consult with a lawyer to help you fully understand all of the provisions in the agreement.

In conclusion, non-compete agreements can be a tricky subject, but it is important to understand your rights as an employee. If you live and work in Kentucky, remember that the state`s specific laws regarding non-compete agreements may affect your ability to find work in your field after leaving your current job. Always be sure to read and understand any agreements you are asked to sign, and do not hesitate to seek legal advice if needed.