top of page

Navigating Non-Compete Agreement Violations in Houston

What Texas Business Owners Need to Know

Non-Compete Agreement Disputes in Houston
Legal Enforcement and Defense for Texas Business Owners

At Spencer Law Firm, we understand how vital non-compete agreements are for safeguarding confidential business strategies and relationships. These agreements are designed to prevent former employees, contractors, or vendors from unfairly leveraging inside knowledge to compete directly with your company.

Whether you're a business owner concerned about a former associate launching a competing venture, or a professional accused of violating a non-compete clause, our experienced Houston-based attorneys are prepared to protect your interests. We offer strategic counsel and litigation support for both enforcing and contesting non-compete agreements under Texas law.

What Is a Non-Compete Agreement in Houston, Texas?

A non-compete agreement is a legal contract that restricts an employee from working for competitors or starting a similar business for a certain time and geographic scope after leaving a company. In Texas, these agreements are enforceable only if they meet specific statutory requirements under Texas Business and Commerce Code §15.50.

Are Non-Compete Agreements Enforceable in Texas?

Yes, but only under strict legal standards. For a non-compete clause to be enforceable in Texas:

  • It must be ancillary to an otherwise enforceable agreement (e.g., employment or confidentiality agreement)

  • It must be supported by consideration (such as access to trade secrets or proprietary training)

  • The restrictions must be reasonable in time, geography, and scope of activity

 

If these criteria are not met, Texas courts may declare the agreement unenforceable.

Common Violations of Non-Compete Agreements

  • Starting a competing business within a restricted zone

  • Joining a direct competitor immediately after resignation

  • Soliciting clients or employees from the former employer

  • Misusing trade secrets or confidential information

Legal Remedies Available in Texas If a non-compete is violated, employers may seek

  • Injunctive relief to stop the violating conduct

  • Monetary damages for lost revenue or breach of contract

  • Attorney fees and costs under specific conditions

Defending Against Non-Compete Enforcement

Business owners and professionals may challenge non-compete agreements by arguing:

  • The agreement is overly broad or lacks consideration

  • No legitimate business interest is at risk

  • The employer breached their own contractual duties

  • The information in question is not a true trade secret

Special Rules for Physicians and Healthcare Professionals​

Business owners and professionals may challenge non-compete agreements by arguing:

  • Patients are given access to their medical records

  • A buyout option is offered

  • The clause does not restrict emergency care

Checklist: How to Prepare for a Non-Compete Dispute
 

  • ✅ Review the signed non-compete clause for compliance with Texas law

  • ✅ Preserve communications and documents about the job change

  • ✅ Avoid contacting clients or accessing old company files

  • ✅ Seek legal counsel early to evaluate enforceability

Frequently Asked Questions

  • 01
  • 02
  • 03
  • 04
  • 05
  • 06
  • 07
  • 08
  • 09
  • 10
  • 11
  • 12
  • 13

Don’t Sign It. Don’t Break It. Talk to Us First.

Whether you’re an employee or an employer, dealing with a non-compete can feel like a trap.

​Why Choose Spencer Law Firm? Our Houston-based business litigation team brings years of experience handling complex non-compete disputes for both employers and executives. We provide strategic guidance grounded in Texas law and tailored to your industry.

The Spencer Law Firm has helped professionals across Texas protect their future and avoid costly legal battles.

➡️ Schedule a consultation today and get a clear legal roadmap — before it's too late.

The Spencer Law Firm
Executive Tower West Plaza
4635 Southwest Freeway, Suite 900
Houston, TX 77027

Phone: 713-961-7770
Toll Free: 888-237-4529
Fax: 713-961-5336

Thank you for submitting a request. An attorney will be in contact if you qualify to be a potential client of the Spencer Law Firm.

  • Youtube Icon
  • Facebook Icon
  • Twitter Icon
  • LinkedIn Icon
  • Instagram Icon

© 2025 by The Spencer Law Firm

bottom of page