All-Star Non-compete Agreements (what Do They Mean/what Are They Worth?)

[RetiredCoach91]

I recently left a gym and we were required to sign one. I didn't mind. I knew if I was going to leave it was going to be on my terms. So what ever the consequences were I had to deal with them.

I still travel doing camps, clinics and choreography with no issue. It wasn't the gym's business before and wont be after!

 

[INeverStopCheering]

I do believe that it can be enforced and should be enforced. If someone signs that contract that states you agree to that agreement there is no much that coach can do if they get upset when the agreement has to be used. If it was taken in front of a judge they will look at the signed contract and move on.

The problem is it CAN'T legally be enforced. @Cheer Tennessee and @cljacks99 are right. 22 states are currently Right to Work states meaning that non-compete contracts have no legal basis what so ever in court. Some employers will make you sign them in hopes you'll be on your honor, or that you don't know about this law, but legally they mean absolutely nothing. Nice idea, but unenforcable in almost half the states.

 

[ACEDAD]

I've posted several times that, in my experience, non-competes are very difficult to enforce.

However, non-solicitation agreements are much easier. That protects the businesse's client lists and proprietary information. And that is what most business owners are trying to protect.

 

[megaflipper]

There is always a mileage limitation that the court looks at. If the gym is in only one state and your new opportunity is two states away, a judge will always knock it down. A person has a right to employment regardless of the contract. It just cannot harm the former employer or be in their market.

 

[King]

While enforcing them may be difficult that does not mean a gym or person could not take you to court and be a major pain in the butt. Even if you are legally right it can cost thousands of dollars if someone tried to take you to court, even to be thrown out.

 

[CheerCoach84]

Speaking for myself, and I may have responded to this in another thread, but They won't hold up in court in the states that I have lived in, WV, OH, PA, NC, NJ-i did check:deadhorse: I was basically told, that if this was your main source of income, which it has been for 10 of my 27 years of coaching, and if it was something that was going to be pursued, which it never was going to be, except when i lived in NJ, the owner of the gymnastics facility really wanted to get us all out of coaching anywhere near this particular gym, which was no big deal for me anyway, I needed to move home to WV at the time anyhow, so it all worked out, then I had another experience where the Gym owners decided to not honor all of the contracts with FT employees, in western NC, I almost went after them, but chose not to, I accepted another offer from another program 4 states away, and again, it all worked out for me on this occasion too! One has to pay the mortgage, and child support one way or another wether you are a coach, teacher, corporate employee, I would imagine....:fro:

 

[NJ Coach]

I have heard (and this is second hand so I don't know the validity) that there was a gym here that made their coaches sign a non-compete that encompassed the entire state. I thought that was a bit extreme. I know we're a small state and all, but it's still a good 3 hours from top to bottom.

 

[Rudags]

1. I know in Missouri - They are not enforced. The state said that with the economy we are in - a job is a job.
2. Just quit showing up and get fired... end of contract :-) (most contracts)

 

[socratesofcheer]

@yojaehs and @wcdad

Again, the actual non-compete is EXTREMELY hard to enforce. The threat of a non-compete is much easier.

Most normal folks will fold as soon as someone hands them a letter from Lawyer & Lawyer attorneys at Law. A good attorney will make a normal person scared to death and they would stop coaching. On the flip side another good lawyer will rip the first lawyers letter to shreds. Seen it happen several times.

The threat of a letter from an attorney is usually the part of the non-compete that gets em.

 

[Sabre]

In Maryland, they are enforceable.

 

[yojaehs]

@yojaehs and @wcdad

Again, the actual non-compete is EXTREMELY hard to enforce. The threat of a non-compete is much easier.

Most normal folks will fold as soon as someone hands them a letter from Lawyer & Lawyer attorneys at Law. A good attorney will make a normal person scared to death and they would stop coaching. On the flip side another good lawyer will rip the first lawyers letter to shreds. Seen it happen several times.

The threat of a letter from an attorney is usually the part of the non-compete that gets em.

I hear ya, I really do. But there is a simple way to avoid the threat, just don't sign it. Bc I don't wanna be stuck hoping and praying on the off chance that its just a "threat". I want to KNOW that I am in the clear.

 

[socratesofcheer]

I hear ya, I really do. But there is a simple way to avoid the threat, just don't sign it. Bc I don't wanna be stuck hoping and praying on the off chance that its just a "threat". I want to KNOW that I am in the clear.

That is correct, I just have one question though. What do you do if the company requires the non compete for employment?

The easy answer is to go work at another gym. But, in a lot of cases that's just not acceptable to the employee.

 

[yojaehs]

That is correct, I just have one question though. What do you do if the company requires the non compete for employment?

The easy answer is to go work at another gym. But, in a lot of cases that's just not acceptable to the employee.

I respect you and your posts are very informative, however in this case I will disagree with you and nothing you can say will change my opinion. I have PERSONALLY witnessed a signature on a non-compete attempt to ruin a very close friends life. 10 yrs later he is still paying off court fees, loans to pay lawyers etc. He challenged it bc like all of us he thought "It won't hold up in court". His did, and was forced to work 50 mile min, and separate county away from his previous gym for 5 YEARS.
He started working as a friend of the gym owner (as most of us start), the owner started getting more and more greedy and making decisions to the point that my friend felt he could no longer be a part of that gym. He left the gym and started coaching at another gym which was 45 miles away (5 short of the agreement and in the same county) he was taken to court and forced to quit from that gym which he had been established and coaching at for 6 months and find another gym which he didn't like, nor was he familiar with any of the staff or the program but it was his only way of income and he had a son which he had to take care of.

Long response for me to basically say that YES they CAN hold up, the threat can be a promise. And to answer your question, to ME I would not work there. I have been coaching for 15+ yrs, I have a very good reputation of my loyalty and also what I am about, so IF I ever left my current gym (which I have been at for 6 years, without a contract signed) and looked to coach somewhere else, I would be completely up front with the fact that I would not sign a non-compete contract. I will continue to spread the word bc I think if more coaches would stand up for it then less gyms would do it. Sorry for the long post, but like the Universal Score Sheet, I feel very strongly about this.

 

[socratesofcheer]

I respect you and your posts are very informative, however in this case I will disagree with you and nothing you can say will change my opinion. I have PERSONALLY witnessed a signature on a non-compete attempt to ruin a very close friends life.

I too have seen it work the exact opposite way. A person was given a "CEASE AND DESIST" order from an attorney representing the former employer. The employee was scared to death that he was not going to be able to work at the new gym. He retained a lawyer and with one quick letter the former employer went running off with tail between their legs.

As far as your friend goes, that is a very sad and unfortunate situation. I agree with you on the "don't sign the no compete", but, sometimes it just ain't that easy.

 

[yojaehs]

I too have seen it work the exact opposite way. A person was given a "CEASE AND DESIST" order from an attorney representing the former employer. The employee was scared to death that he was not going to be able to work at the new gym. He retained a lawyer and with one quick letter the former employer went running off with tail between their legs.

As far as your friend goes, that is a very sad and unfortunate situation. I agree with you on the "don't sign the no compete", but, sometimes it just ain't that easy.

I've seen that too. I remember someone bragging about it years ago about how "they beat the contract". But I would recommend not signing.