[Your Name] [Your Address] [City, State, ZIP Code] [Email Address] [Phone Number] [Date] [Recipient's Name] [Recipient's Position] [Company Name] [Company Address] [City, State, ZIP Code] Subject: Violation of Noncom petition Agreement Dear [Recipient's Name], I hope this letter finds you well. I am writing to address a serious matter regarding the violation of the noncom petition agreement that you signed on [date] as a condition of your employment with [Company Name]. As per the terms specified in the agreement, you were obligated to adhere to certain post-employment restrictions, encompassing noncom petition, nonsolicitation, and nondisclosure clauses. It has come to our attention that you have blatantly breached the noncom petition agreement by engaging in activities directly competing with the services provided by our company. These activities were discovered on [date] and have continued unabated since then. To provide specific examples, you have been involved in soliciting and accepting business from our client base, actively promoting products and services that compete directly with those offered by [Company Name], and even offering similar services under a different business entity. These actions not only undermine our company's reputation and goodwill but also have the potential to inflict significant financial harm and damage our relationship with valued clients. It is crucial to emphasize that the noncom petition agreement was formulated to protect the legitimate business interests of [Company Name] and prevent unfair competition. As a result of your violation of the noncom petition agreement, we demand that you: 1. Immediately cease all activities that fall under the jurisdiction of the noncom petition agreement. 2. Provide a written assurance within [specific deadline, e.g., seven days] that you will refrain from engaging in any further activities that breach the noncom petition agreement. 3. Remit financial restitution to [Company Name] based on the damages incurred as a direct result of your competitive actions. 4. Confirm in writing, also within [specific deadline], that you have returned or destroyed any confidential information, proprietary knowledge, client lists, or other sensitive materials belonging to [Company Name]. Failure to comply with these demands will force us to seek legal action, including pursuing an injunction to stop your activities and seeking monetary damages for the harm inflicted upon [Company Name]. However, we sincerely hope to resolve this matter amicably and avoid any protracted legal proceedings. I urge you to consult with your legal counsel to fully comprehend the gravity of the situation. If you are willing to resolve this matter promptly and satisfactorily, we are open to discussing a potential resolution through mediation or negotiation. Please acknowledge receipt of this letter and the seriousness of the situation by signing and returning the enclosed copy of this letter within [specific deadline, e.g., ten days]. This letter is not intended to be a complete or exhaustive statement of the rights and remedies regarding your violation of the noncom petition agreement, all of which are expressly reserved. Thank you for your prompt attention to this matter. Sincerely, [Your Name]
Arkansas Sample Letter for Violation of Noncompetition Agreement
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FAQ
A breach of contract cease and desist letter is sent to a party that has entered into an agreement and has violated the terms resulting in damages to the claimant. This letter is commonly used when the defendant is in violation of an employment or non-compete agreement.
Responding to a Cease and Desist Letter Here is what you should do: Consult with a lawyer experienced in non-compete agreements. If it appears to be a misunderstanding, consider reaching out to your former employer to clarify. In most cases, have your lawyer craft a written response to the cease and desist letter.
The Arkansas courts have made it abundantly clear that restrictive non-compete agreements (or ?covenants?) are enforceable if the terms are reasonable and necessary to protect the employer's business interests.
A breach of contract cease and desist letter is sent to a party that has entered into an agreement and has violated the terms resulting in damages to the claimant. This letter is commonly used when the defendant is in violation of an employment or non-compete agreement.
The letter should contain a summary of the contractual agreement, and citations to case law that demonstrates that the employee is in breach of the non-compete agreement. The business should advise the employee that it will seek damages if the violations are not stopped.
Typically, the only way to fight a non-compete agreement is to go to court. If you are an employee (or former employee) who signed such an agreement, this means you must violate the agreement and wait to be sued. It may be that your former employer has never sued another employee to enforce the non-compete agreement.
I am writing this letter and desperately requesting a release from this non-compete restraint. I am willing to offer payment or other valuable consideration in exchange for this request. Please contact me at any time to further discuss this matter at [TELEPHONE] or [E-MAIL].