In Washington, non-competes can be valid if they are not overreaching (up to two or three years, with a reasonable geographic scope), and an employer can demand that you sign one as a condition of employment (i.e., if you don't sign it they won't hire/retain you), however there is good law that says if you don't get new consideration, then continued employment is not enough to make a contract. "Consideration" in a contract is what is received or given for the bargain. That's why deeds often say "for $10 and other good and valuable consideration" the property is being sold. In contract law, if there's no exchange of consideration there is usually no valid agreement. That is, signing a new non-compete without getting something new in return (in addition to continued employment) means that the new non-compete is not valid. You can find the case by looking up the name: Labriola v. Pollard Group. Short answer: Yes, they can do it but they have to give you something, e.g., $10.00 or a day of vacation or a raise or something, and it must be something to which you would not otherwise be entitled, and you need to get it in return for signing the agreement, AND continued employment alone is not enough to make it valid. It's probably worth the few hundred dollars it would cost to get a consultation that applies the law to your exact facts specifically if you are going to make an important decision over this.
Answered on Nov 01st, 2013 at 2:51 AM