The single most common mistake in DIY employment contracts is a non-compete clause copy-pasted from a national template. In California, Minnesota, Oklahoma, North Dakota - and, at the federal level, in the direction the FTC has been moving - that clause is void, and in some states, the mere fact that you tried to enforce it is actionable.
What the template does wrong
- Applies a national non-compete without state-by-state gating.
- Bundles non-compete with non-solicit and confidentiality in one paragraph, so a court that strikes the non-compete may take the neighbors with it.
- Uses IP assignment language without the whistleblower notice required by the US Defend Trade Secrets Act.
The clean structure
1. Confidentiality - always enforceable. Written broadly, survives termination, no state carve-outs needed.
2. IP assignment - with prior-inventions carve-out and DTSA notice. Every state.
3. Non-solicitation - 12 months, defined by "material contact" or a list. Enforceable almost everywhere with reasonable scope.
4. Non-competition - only where enforceable, and only with consideration. Gated by state.
Keep the four clauses in separate sections. If a court strikes one, the others survive.
The at-will paragraph matters more than you think
At-will language protects the employer's ability to terminate without cause. In fixed-term contracts, spell out termination-for-cause with numbered categories. The specificity is what protects the employer if litigation follows.
Draft one with the Employment Contract tool.