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What should you do if an interviewee has a non-compete agreement?

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If you are a staffing service provider, you may encounter candidates who have signed a non-compete agreement with their previous or current employer. This is a contract that restricts them from working for a competitor or a similar business for a certain period of time and within a certain geographic area. How should you handle this situation? Here are some tips to avoid legal trouble and ethical dilemmas.

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1 Understand the agreement

Before you proceed with the interview, you should ask the candidate to provide you with a copy of their non-compete agreement. You need to understand the scope, duration, and enforceability of the contract. Some agreements may be too broad, vague, or unreasonable, and therefore invalid or unenforceable in court. However, some states have laws that favor the employer and uphold the agreement even if it seems unfair. You should consult with a legal expert to determine the risks and implications of hiring the candidate.

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Carrie Bryson
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It is important to approach this situation carefully. -Request a copy of the non-compete agreement. Read carefully and look for details like the geographic scope, duration, and specific activities or industries that are restricted. - Have an open and honest conversation with the candidate. - If concerned about enforceability or potential impact, consult with legal counsel for review. You want to be sure you are not open to risks. - Maintain clear records of your discussions with the interviewee. - Make sure to have a clear understanding of the agreement before proceeding.

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2 Respect the agreement

If the agreement is valid and enforceable, you should respect it and not try to lure the candidate away from their current or former employer. This could expose you and the candidate to legal action, damages, and reputation loss. You should also not ask the candidate to disclose any confidential or proprietary information about their employer, such as trade secrets, client lists, or strategies. This could violate the agreement and breach their fiduciary duty. You should maintain a professional and ethical relationship with the candidate and their employer.

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Mark S. K.

Mechanical Design Engineer, looking for new opportunities. #ONO #OTW
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many people signed NCA's that are non enforceable. US courts have been deciding in many cases if you don't have a financial interest or are privy to sensitive company information they aren't enforceable.

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3 Explore the alternatives

If the agreement is not valid or enforceable, or if it does not apply to the position you are offering, you may be able to hire the candidate without violating the contract. However, you should still be cautious and transparent about the situation. You should inform the candidate of their obligations and responsibilities under the agreement, and advise them to seek legal counsel if they have any doubts or concerns. You should also notify the employer of your intention to hire the candidate, and explain how you will ensure that there will be no conflict of interest or unfair competition. You may be able to negotiate a waiver, a modification, or a release from the agreement, or agree on some other terms that satisfy both parties.

Hiring a candidate with a non-compete agreement can be challenging, but not impossible. You should always act with integrity and respect, and follow the legal and ethical guidelines. By doing so, you can avoid potential lawsuits and disputes, and build trust and credibility with your clients and candidates.

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4 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Melissa Kay D.

Account Director | Board Member | Founding Member | Talent Recruitment Advisor | Light-worker ?? | Builder | RPO | Mom of 4 | Relationship Catalyst | Navigator | Workforce Planning | Headhunting | ??????
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Confidentiality agreements are fear. People learn and grow from experience. Yes there is a level of understanding that needs to be there in any relationship to know what should be exposed and what needs a safer exposure and time of it; but confidence is a skill: and as much as I hate the sound of a confidentiality agreement it isn’t far fetched to say I am trustworthy and I won’t try to hurt your business while I make anew. However I’d be glad to say that learning will cross over and that’s good in an honorable way.

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What should you do if an interviewee has a non-compete agreement?

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1 Understand the agreement

2 Respect the agreement

3 Explore the alternatives

4 Here’s what else to consider

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What should you do if an interviewee has a non-compete agreement?

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2

3

4

1 Understand the agreement

2 Respect the agreement

3 Explore the alternatives

4 Here’s what else to consider

Staffing Services

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