As a business owner, you naturally want to ensure that your employees are forwarding your company’s interests rather than acting for their own benefit. Employee-related contracts provide a way to ensure just that. However, both state and federal law place various requirements and restrictions on these contracts. Failing to adhere to these rules could invalidate your contracts and even expose you to legal liability.
The best way to avoid potentially negative outcomes is to work with a trusted and experienced business law attorney who understands North Dakota and Minnesota laws and how they apply to you and your business contract needs.
Kennelly Business Law is proud to support businesspeople in the Fargo-Moorhead area and throughout communities in eastern North Dakota and western Minnesota, providing them with the targeted legal guidance they need. Contact us today for an initial consultation with an employee contract lawyer and let us put you on the path to success.
At Kennelly Business Law, our employment lawyers have extensive experience counseling businesses throughout eastern North Dakota during negotiations and review of employee contracts. Let us help you with all types of contracts and agreements including:
Our firm can help your company develop base employment agreements. Employment agreements typically define the terms and conditions of the employer-employee relationship, including compensation packages, job duties, and performance expectations. Contracts can also establish employment as “at-will” or subject to conditions, such as a defined term or specific grounds that an employer must have to terminate the employee. Companies may also negotiate executive compensation agreements with high-level employees to establish terms and conditions for a specific executive or key employee’s role.
Restrictive covenants can cover employees who have access to a company’s confidential information or its customer and vendor relationships. These agreements can either be part of an overall employment contract or a standalone contract. Employers can also insist upon restrictive covenant agreements as a condition of a promotion or increase in compensation, such as a grant of equity compensation.
A restrictive covenant can impose various restrictions and requirements on employees during the term of their employment and for a specific period after their employment with the company ends.
Common types of restrictive covenant agreements include:
Businesses may also have employees sign proprietary information or invention assignment agreements as a condition of an offer of employment. Proprietary information agreements govern an employee’s access to and use of the employer’s confidential information, requiring the employee to use it only for the employer’s benefit and barring the employee from disclosing it to others except as directed by the employer.
Invention assignment agreements codify the employee’s agreement to assign intellectual property or ownership rights to any inventions or works they create during their employment or using the employer’s facilities or materials. These agreements typically require an employee to execute any necessary documents or take any actions to establish the employer’s intellectual property rights.
Employment contracts can include alternative dispute resolution agreements that require employers or employees to submit disputes to a procedure, such as mediation or arbitration. Employers may prefer alternative dispute resolution as it can facilitate swifter resolution of employee disputes and avoid the publicity of court litigation. However, courts impose certain requirements on alternative dispute agreements in employment relationships, requiring that they:
As such, companies can benefit from having a seasoned law firm to help draft alternative dispute agreements to ensure their enforceability.
Termination or severance agreements govern an employee’s departure from their employer. An employee may have a severance package as part of their employment agreement, which provides them with severance if the company lays them off, undergoes a workforce restructuring, or undergoes a change of control. Employers and employees may also enter termination or severance agreements to settle legal disputes between the parties, such as pending disciplinary proceedings against an employee or an employee’s discrimination, harassment, retaliation, or wage-and-hour claims.
Termination and severance agreements can cover various matters such as:
At Kennelly Business Law, we help businesses throughout the Fargo, Valley City, and Wahpeton region avoid the common pitfalls regarding employee contracts that can expose them to legal risks. These mistakes include:
Whether your company needs standard agreements for your workforce or wants to negotiate a customized agreement with an executive or key employee, the employment contract lawyers at Kennelly Business Law are here to help. Turn to us for the legal guidance you can trust, because:
When you need experienced legal counsel to help you develop and enforce employee contracts, contact Kennelly Business Law. We look forward to meeting you and learning about your business during a confidential consultation.
