• February 2020
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Is it legal for a company to ask an employee to sign an NDA, non-compete agreement or I.P. assignment agreement *after* he has already begun working?

Great, important question. I stand behind Cliff Gilley on this one – it depends where you’re located. However, there is a growing trend across the country for continued employment to be viewed as inadequate consideration for these types of employment agreements. It really began after a landmark Illinois state case in 2013 – the Fifield case. The court in that case held that even new hires must be given consideration in exchange for non-compete agreements, or the employment of an existing employee must continue for at least two years, even if the employee leaves voluntarily during that period. This caused a shift in courtrooms throughout the US, as states that had always followed the majority rule of continued employment being sufficient consideration were now striking down agreements for lack of consideration. As such, it’s important to consult with an attorney to figure out what options you have.

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