By the Employment Attorneys at Smith & Garg, LLC, serving The Woodlands, Spring, Houston, Conroe, Humble, Kingwood, Tomball, Cypress, Huntsville, Westchase, Southwest, Sugar Land, West Oaks, Alief, Memorial, River Oaks, Stafford, Katy, and Missouri City.

What are some defenses to a suit to enforce a covenant not to compete?

One can bring a statute of limitations defense. Since a covenant not to compete is a contract, in Texas, there is a four-year limitations period. Also, all other contract defenses are available in this type of case. The employee can assert the theory of unclean hands. For instance, if the employer breached the employment agreement by firing the employee without cause, the employer can be barred by injunction from attempting to enforce the covenant not to compete. The employee can also assert the defense of illegality.

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