I signed a contract yesterday that basically said, I would not hire Virginia Corp, Inc.’s employees, or the employee and I would face a lawsuit. The contract gave a dollar amount – which was an indirect buy out number.
For the low low price of $6,000 – I could hire their employees privately.
In some ways, it’s good to know the price of a non-compete buy out. If you are an employee and you know you want out, start saving and you may be able to buy yourself protection from enforcement of your non-compete agreement.
In most industries however, there is no defined number. So should you offer a buy out?
Each situation is unique. In some cases, a buy out is appropriate. In others, I do not recommend the employee offer his company a lump sum.
If you are considering leaving your employer, and you want to know whether a buy out is an option, we are happy to help evaluate and advise.