How to Enforce Employment Agreements
Employment contracts usually describe obligations, rights, and responsibilities for both employers and employees. Some companies utilize standard employment agreements, while others allow employees to negotiate important terms. One common clause involves non-compete agreements that usually prevent employees from working for a competitor within a certain area.
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Instructions
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Review the employment agreement carefully. You must understand key terms and clarify ambiguous terms. For instance, if the agreement states that the employee cannot work within 10 miles, there might be a dispute about whether the distance represents the radius or diameter (5-mile radius).
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Gather evidence that the employment contract was legally entered. If the agreement was oral, find witnesses who can confirm the terms. If the agreement was written, demonstrate that coercion, fraud, or corruption was not involved. For instance, it might be difficult to establish that a non-English speaking employee understood the agreement.
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File a lawsuit in the local civil court based on breach of contract, and include a request for an injunction to immediately enforce the agreement (stop employee from working). You can start a lawsuit by preparing a basic petition and paying the required filing fee. However, to enforce the agreement and win the lawsuit, you must prove that the valid agreement was breached.
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Initiate dispute resolution procedures, such as through arbitration or mediation. Several employment agreements require disputes to be handled through binding arbitration with a neutral third party, rather than the public judicial system.
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Review clauses about applicable state law. For instance, you might be subject to special or strict state employment law where the contract was signed instead of where the company is headquartered.
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Tips & Warnings
Make sure that arbitrators or mediators are neutral third parties. Binding dispute resolution decisions can be vacated due to the decision maker's partiality (owns part of the company, is related to the employee).
There are several ways to violate an employment agreement and create significant harm. An employer might fail to fully pay an employee's severance. An employee might reveal confidential trade secrets and diminish the employer's competitive advantage.
