Restrictive Covenants: Is Your Noncompete Unenforecable?

On March 10, 2022, the Georgia Court of Appeals issued a decision regarding the enforceability of certain restrictive covenants in an employment agreement. In Burbach v. Motorsports of Conyers, LLC, 2022 WL 712481 (March 10, 2022), the Court of Appeals first determined that a Florida choice of law provision in the applicable agreement should be disregarded because Georgia public policy requires the court to apply Georgia law to agreements involving employees in Georgia.¹ The court then found the noncompete unenforceable for several reasons. This decision may make many ask, "is my noncompete unenforceable?"

Court Finds Noncompete Unenforceable

First, the duration of the noncompete was three years. However, O.C.G.A. § 13-8-57(b) states that restraints against former employees for more than two years in duration are presumptively unreasonable. The plaintiff did not appear to present any evidence rebutting that presumption.