Texas Courts Reform Overly Broad Noncompete Agreements so that the Terms are Enforceable

/cdklawyers.com// 02/03/2012

Keith Clouse, a Texas labor and employment law attorney, frequently advises employers, senior executives, and physicians regarding the enforceability of existing or proposed noncompete agreements. Because a noncompete agreement can substantially impact an individual’s ability to obtain later work, these agreements must undergo careful scrutiny. 


Some noncompete agreements contain overly broad terms. For example, an agreement that prohibits a physician from practicing medicine anywhere in Texas would likely be found overly broad if the doctor only saw patients at a single facility in Dallas.


When dealing with overly broad terms, Texas courts must reform noncompetition agreements. This is not true of courts in other jurisdictions. In some states, if a noncompete provision is overly broad, a court must void the entire agreement and, in other states, a court must strike out the overly broad provision. But, in Texas, a court must judicially reform the agreement so that its terms are enforceable. In the scenario above, for example, a court might reform the agreement by rewording it so that the physician is prevented from practicing medicine just within Dallas County.


To receive legal advice regarding a noncompete agreement from a noncompete attorney, contact Mr. Clouse and the Dallas employment lawyers at Clouse Dunn LLP at [email protected]



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Clouse Dunn LLP

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