With Fifield, Illinois now poses onerous consideration rules

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With Fifield, Illinois now poses onerous consideration rules — what this means for your noncompetes - .PDF file.

Two years is a long time for an employee to stay in one place. According to the US Department of Labor’s Bureau of Labor Statistics, more than one quarter of all US jobs have tenures of less than two years.

Yet, in Fifield v Premier Dealer Services, Inc, 2013 IL App (1st) 120327 (2013), the Illinois Appellate Court has just held a nonsolicitation and noncompetition covenant unenforceable for lack of consideration because the employee’s job with his employer did not last two years after he signed the covenant, even though he had received a new job in exchange for the covenant, and even though he was the one who quit.

While other states require some minimum employment term under certain circumstances, the blanket two-year requirement in Illinois now poses one of the most onerous consideration rules in the US…

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