The contract states things like "will not engage in provision of services similar or in direct competition to the Company within the municipality of Vancouver" While non-compete clauses are legal, they may be challenging to enforce.A noncompete agreement is a legally binding contract that prohibits an independent contractor from competing with the company who engaged it. • Complete the Independent Contractor Checklist (Part 1a). • Ask the potential contractor to complete Checklist (Part 1b) and Substitute form W-9. One of the most common questions I get from business owners is whether or not NonCompete Agreements are legal. Yes, in Arizona they are! Non-compete agreements. 350. (210). 350. Item 12 and the "territory" provisions in the franchise agreement describe whether the franchisor and other franchisees can compete with you.