A salesperson for Company Z has worked for Company Z for a y…
A salesperson for Company Z has worked for Company Z for a year. Company Z realized, however, that it had not protected itself by entering into a non-competition and confidentiality agreement with the salesperson at the time of onboarding. Company Z knew the salesperson wanted to expand his territory from Texas to Texas, Arkansas, Oklahoma, and Louisiana. As a result, Company Z agreed to provide leads and sales information regarding potential clients in Arkansas, Oklahoma and Louisiana in exchange for a non-compete that would restrict the salesperson from directly competing against Company Z for 5 years throughout the Southeast quadrant of the United States including states Texas, Oklahoma, Arkansas, Louisiana, Mississippi, Alabama, Georgia and Florida where Company Z saw its business expanding in the future. Company Z included in this agreement a confidentiality provision that required the salesperson to maintain the confidentiality of these sales leads and contact information in perpetuity. Discuss the validity of this non-competition and confidentiality agreement and what reforms, if necessary, will be required prior to a Court enforcing the same.
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