The purpose of a covenant not to compete, in the employer/employee context, is to restrict what an employee may do after leaving a company.

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A covenant not to compete, also known as a non-compete clause, is designed to prevent an employee from entering into or starting a similar profession or trade in competition against the employer, for a certain period and within a specific geographical area after leaving the company.

The Purpose of a Covenant Not to Compete, in the Employer/employee