The main question, from the employer/employee`s point of view, is: “Does the employer already have the right to prohibit a worker from keeping accounts or otherwise competing after that worker has left the agency that paid the worker for his efforts to establish, establish relationships and/or maintain an insurance account, which is part of the employers` agency`s asset base?” The duration of an appropriate non-competition clause is therefore only two years (two full extensions) and a maximum duration of three years (including partial insurance periods after the employee`s termination and two subsequent extensions). A worker who works with a non-competition clause in force must give the employer sufficient time to re-establish relations with the client with another worker. At the end of this period, the employer and the former employee will be considered in an “area of equal competition” and competition is again fair. The information in which the worker was initiated during his employment is so outdated that he must receive his own information about the customer. Sufficient time has elapsed to allow the employer to replace the worker in its relationship with the client, making the competition between the former employee (who now requires the client only as another agent) and the current agent fair. Lawyers who impose non-compete rules can sympathize with Allstate`s lawyer. You are all too familiar with the employee`s complaint: “Judge, how can I make a living and put food on my family`s table if you impose this non-competition clause?” It is an occupational risk. But this is not the only problem for an insurance company or a company trying to impose a non-competition clause. What for? However, as with any injunction, it is not sufficient for the undertaking to demonstrate that the non-competition clause is applicable in order to enforce an injunction intended to impose a non-competition clause against an insurance agent.

[6] The company must also show that an injunction would be fair. We are not lawyers at Agency Consulting Group, Inc. However, we have been experts in insurance agency standards, practices and litigation and have been asked on numerous occasions to comment on industry standards relating to non-competition rules and their validity or applicability under a wide range of conditions. . . .