Question
You operate an Advertising and Public Relations firm in Murfreesboro, TN as a sole proprietor. Many of your clients are businesses and nonprofit organizations located
You operate an Advertising and Public Relations firm in Murfreesboro, TN as a sole proprietor. Many of your clients are businesses and nonprofit organizations located in Rutherford County. Several years ago, you hired a recent college graduate as an Advertising Account Manager. Account Managers form relationships with clients to work with them to identify and achieve their marketing, advertising, promotions and public relations goals. After working for you for 5 years, she left and started her own firm. Several of your long-standing clients moved their business to her. Now, you are in a position where you could benefit from another Account Manager, but you are concerned about this happening again. You consult an attorney about using a non-compete clause in your employment contract that would prohibit an employee from starting a competing business or working for a competitor anywhere in the U.S. for 5 years after the termination of their employment with your firm. The attorney offers her expert opinion that courts in Tennessee are unlikely to enforce a clause of this scope. She also advises, however, that few employees seek legal advice when a problem arises with their employment contract and instead assume that whatever is written in the contract is binding. What will you do?
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