Originally posted on DontBuyAds.com on 8/9/11. Note: CrossFit affiliate agreements specifically prohibit using a noncompete clause. But you can still use a Non-Solicit agreement, and you should have a confidentiality agreement anyway. The NonCompete A topic that’s been getting a lot of attention on the Affiliate discussion boards lately is the NonCompete Contract. With some centers now supporting 6 or more CrossFit boxes, it’s no surprise that Affiliates are considering the possibility of Coaches moving around from Box to Box. A bit of diffusion with Coaches, just as with athletes, is to be expected: no one is a perfect match for everyone. The big fear, though, seems to be that the cost of developing a Coach – which takes years and a TON of money – can be tossed aside when the Coach leaves to start her OWN Affiliate, usually taking clients with her. How can we know the correct way to write a NonCompete contract, preventing a staff member from going out on their own and drawing staff members, without a lot of trial and error? We can put a contract on the firing line and try to defend it. In our case, we’re currently defending AGAINST a NonCompete contract from another business. We’re going to win. More importantly, we’re going to learn where the law works to uphold a NonCompete contract…and where it won’t. When a court is considering the validity of a NonCompete contract, it has to answer three questions: 1. Does the company have a proprietary interest that’s entitled to protection? Have you developed specific knowledge that can’t be gained easily, or without much effort, by the common person? Are others doing similar things in your area already? 2. Are the temporal or spatial restrictions too broad? After all, while you have the right to protect your business, you can’t stop another person from making a living forever, or remove them from the industry…. 3. Is a ...
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