How to treat a non-compete restriction.

IN A MARKETPLACE STEEPED WITH COMPETITION AND A BUSINESS environment often staffed with a transient workforce, non-compete agreements have become quite the business norm.

Non-compete agreements or clauses, also known as restrictive covenants, are contracts between the employer and employee that limit the employee's ability to work for an industry rival within a geographic area for a period of time after quitting or being fired.

"Generally speaking, non-compete clauses have not historically been employee-friendly," says Courtney Rogers Reid, an attorney with a Minnesota-based financial services corporation. "Non-compete clauses can have a significant impact on an individual's future employability, so they should be given as much consideration as job compensation and benefits." Reid recommends taking the following precautions to prevent repercussions to your career:

1. Inquire about a non-compete agreement or other employment restrictions before accepting a job.

2. Request time to review the agreement with your lawyer.

3. Work to limit the terms of the agreement as narrowly as possible. Require that the non-compete clause be reasonable in its scope--duration, geographic region, and market segment.

4. Negotiate trade-offs. Request extra compensation, a sign-on bonus, or more of a severance package in exchange for agreeing to a non-compete.

In conclusion, Reid advises, "Be certain you can live with the terms of the agreement before signing it. After all, you may be forced to move, change careers, or go unemployed should your current job end."