John Hancock's Lingering Importance

When drafting a non-compete agreement, every lawyer repeatedly asks himself, "Are the limitations as to time, geography, and scope reasonable?" This thought becomes all-consuming because no attorney wants his agreement reformed by the courts, much to the – ahem – "disappointment" of his client. However, regardless of how reasonable the agreement may be, if the parties fail to sign the agreement, it may be just as unenforceable as if the employee was forever prohibited from working in the United States at any profession that earns an income.

In Holloway v. Dekkers, the Dallas Court of Appeals held that an employment agreement negotiated through in-person, phone and e-mail conversations was unenforceable because only the employee signed the formal, written contract.