THE non-compete clause has been causing trouble for over 600 years. In 1414 an English court heard the case of John Dyer,an apprentice whose master had stopped him from plying his trade for six months. The judge was having none of it. “The contract is contrary to common law, he ruled. Individuals should be free to pursue the livelihood of their choice.
That principle has been diluted in the intervening centuries—most countries give businesses some leeway to use non-compete clauses, or whereby workers promise not to start or join firms that fade head-to-head with their ex-employer. But their prevalence in America is striking (see article). According to a study by the Treasury in 2016,nearly 20% of American workers are bound by a non-compete agreement, and nearly 40% hold been subject to one at some point. Efforts to rein them in are...
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Source: economist.com