5) Confederation is supported by valuable consideration. “Reflection” is a value given in the framework of an agreement. Thus, the employer must give something valuable to a worker in exchange for the worker`s lack of competition. In South Carolina, a job offer to the worker is enough to impose a contract, not to compete. However, if there is already a working relationship before the worker is invited to accept a contract, not to compete, this agreement must be based on a new reflection (such as the payment of money) and not just on the continuation of employment. Courts in South Carolina are reluctant to impose non-compete prohibitions on employment contracts and to interpret them strictly against employers.  In general, restrictive non-compete agreements in employment contracts are subject to more rigorous scrutiny than similar agreements that preside over the sale of companies.  Courts maintain a non-participation contract in an employment contract only if (1) is necessary to protect the “legitimate interest” of the employer; (2) appropriately limited in terms of time and location; (3) are not overly harsh and depressing when it comes to limiting the viability of the worker; (4) are appropriate from the point of view of sound public order; and (5) supported by a valuable counterpart.  In a contract not to compete – or a clause without competition – a party undertakes not to compete with another company of the same nature.
Non-compete clauses, non-invitation clauses and confidentiality clauses are all restrictive agreements that are often included in employment contracts and commercial or asset sales contracts. According to a study by the Wall Street Journal, the number of U.S. court decisions involving non-compete bonds has increased by 61% since 2002. Since most cases are dealt with outside the courts, we know that non-competition prohibitions are more widespread. South Carolina non-compete lawyer Andy Arnold has seen first-hand how non-competitors can stifle a person`s professional mobility and the search for a person`s greatest worth. As noted above, the non-competition agreement may also contain other provisions that are broad enough to resemble a non-competition clause. In South Carolina, our courts have decided that any so-called non-invitation agreement, which in practice amounts to a non-compete clause, would be assessed under the same rules as non-competition prohibitions.