A recent Illinois Supreme Court opinion clarifies and broadens
the scope of enforceable noncompete agreements for Illinois
employers. This newsletter summarizes the court's opinion and
the resulting changes regarding the enforceability of noncompete
agreements.
In its recent decision in Reliable Fire Equipment Comp. v.
Arnold Arredondo, the Illinois Supreme Court clarified and
broadened the circumstances in which noncompete agreements will be
considered enforceable in Illinois. Docket No. IL 111871 (Dec. 1,
2011). The court held there is no specific test to determine
whether a noncompete agreement protects an employer's
legitimate business interest and is therefore enforceable;
therefore, any court considering a noncompete agreement should look
at the totality of the circumstances surrounding the agreement to
determine whether it protects a legitimate business interest. This
decision has significant implications for any business that has or
will create noncompete
