Texas Non-compete Agreement Template

Every state in the United States has its specific laws, especially regarding business and competition. Non-compete agreements enable business owners to stay afloat and preserve their reputations. Therefore, you need to take into account the non-compete agreements when developing your commercial company.

The Texas non-compete agreement is a universal and legally binding document. This treaty protects trade secrets from disclosure, encroachment threats, and unfair use. Undoubtedly, employees communicate within the framework of business culture and etiquette. When entering a new job, everyone understands that you cannot distribute confidential information outside the company. However, many employees neglect such requirements.

Texas Non-Compete Agreement Form

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Therefore, the employer suggests entering into a non-compete agreement that guarantees that you will keep the business’s secret information confidential. Thus, the involved parties guarantee trust in the business and protect information from outsiders and third parties. By signing the non-compete agreement template, the company ensures its implementation according to intra-business relations. It is forbidden and entirely illegal to disseminate trade secrets.

It is worth mentioning that the Texas Business and Commerce Code regulates this industry and non-compete relations. If your firm draws up the non-compete agreements correctly, its confidential information will be well protected.

An NCA provides particular advantages, including:

  • Trusting relations among employees
  • Transparency of professional relations
  • Non-proliferation and protection of trade secrets
  • The ability to hire employees without any secrets and fears
  • Goodwill and reputation preservation

Popular Local NCA Forms

Non-compete forms are recognized and enforced to a varying extent by the vast majority of US states, making them fairly widespread amongst a large number of firms. Find out more about the most common states searched by our website users regarding non-competes.

Texas NCA Laws and Restrictions

Texas has its legislation peculiarities regarding NCAs. The Texas Code states that non-compete treaties must be reasonable and adequate. They should also be sensible in terms of time and scope of work.

Besides, such legal documents should not impose inadequately strict restraints. Also, the agreement can be either an addition or part of the main hiring contract. Every employee understands the importance of such documents. However, each employer must inform their subordinates of such requirements.

What else do you need to know about the non-compete agreements? The state legislation has developed and passed the Texas Code, the legal force of which applies to business entities. To better understand the local laws, you may refer to the Texas government’s official website. It has a detailed description of concepts, requirements, and goals. If you are interested in the prosperity of your company, the Texas Code will come in handy. Please make sure to get acquainted with the corresponding requirements before proceeding to fill out an NCA form.

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Published: Jul 11, 2022
Jennifer M. Settles
Jennifer M. Settles
Author & Attorney
With over 25 years of experience as a business and transactional attorney, Jennifer has mastered the craft of closing highly successful deals for her clients. Through her wide-ranging expertise in commercial contracts, real estate transactions, M&A and corporate law, Jennifer secures results that are second-to-none.