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What restrictions impose an undue hardship on the worker?

A. In King v Head Start Family Hair Salons, 2004 WL 68617 (Ala), the court held that a restriction created an undue hardship because employee had worked only in one industry and would not be able to retrain for another easily.

B. In Sheffield v. Stoudenmire, 553 So.2d 125, 126-27 (Ala.1989), the Court held that a noncompetition agreement restricting an employee from competing within a 50- mile radius of his former employer posed an undue hardship on the employee because he was "50 years old, married, and possesse[d] significant financial obligations."

C. In Calhoun v. Brendle, 502 So.2d 689 (Ala.1986), the Court declined to uphold a noncompetition agreement that restricted the employee from servicing fire-extinguishing equipment within a 100-mile radius of the business location of his former employer. Evidence was presented showing that the employee was trained and educated only in the field of fire-equipment maintenance.

[This is only a summary of a few cases. This is presented for informational purposes only. Contact a lawyer for an assessment of your situation.]

This entry was posted by Edward at 12:00 PM, 30 September 2006 | Categories: Non-competition

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