How are NDA agreements/non-compete agreements enforced in the state of utah?

UPDATED: Oct 1, 2022

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How are NDA agreements/non-compete agreements enforced in the state of utah?

I have an employee who is being harassed by a former employer over a non -compete
agreement that he signed in 2009. This agreement was never full execute and
since then the company sold to a new owner. They will not produce the executed
copy of the non compete or any business sale information that shows the legal
transfer of this document to the new owner. This employee does not ave the
resources to constantly defend. The former employers attorney has stated that
the original owner will testify that the agreement was signed and that it would
stand up in court regardless of the fact that they can not produce the document.
Is this true? or is it true that if there is no executed document that there is
no agreement?

Asked on October 17, 2018 under Employment Labor Law, Utah


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

A contract can be enforced without an executed written contract IF the court can be convinced that both sides agreed to and consented to it. If the former owner testifies that the agreement was executed that may be enough if he is persuasive and credible and the other facts support his testimony. For example, if there is evidence that the employee was presented witht the noncompete, because generally, employees who would be subject to a noncompete are not retained (I.e. they are fired) if they won't sign and agree to the contract, that would support that he did agree to it. So the answer is "it depends" on whether the credible testimony (which the employee can, of course oppose with his own testimony) plus evidence is sufficient to establish the existence and terms of the agreement.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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