How common are offer letters stating, after separation, you can’t work for X months for a company offering Y services? Is this typically enforced?

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Not enforceable in California

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Very common. No clue if it’s enforced but I doubt it would be

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Common in high finance (hedge funds, PE) and other industries where firm knowledge is transferable. Yes typically enforced from what I’ve seen

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Yep garden leave is enforced by most major banks

Non-compete agreements are very frequently required by employers. Enforcement varies drastically by industry

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It's not usually in the offer, but rather a separate non-compete and then usually an accompanying NDA.

I only remember signing 1-2 of those with the last 6 companies. And they weren't very enforceable. But my subsequent firm took them as precautions because it's easier to avoid any issues altogether. And it took the pressure off me from mistakenly disclosing information from my past employer if I was working at the same client.

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Varies based on the industry, the company, the role, and the state.

I worked at one company that only instituted non-competes at the SM+ levels, and those were strictly enforced. A friend left his boutique midsize consulting firm to hang out his own shingle in violation of his non-compete and was promptly sued within two weeks. On the other hand, another friend left a large, brand name firm and was told by his leadership that as long as he didn't make waves in his new role, the non-compete wouldn't be enforced.

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Makes sense, guess the main takeaway is that these seem to be fairly common, but to not try to do what the guy that got sued did. Thanks for the detailed answer TM1. Appreciate it!

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