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Special Contribution


Georgia's new Restrictive Covenant Act (the "Act") became effective on July 1, 1990. The Act provides for a total restatement and selective modification of Georgia's law regarding restrictive covenants. Restrictive covenants, as referred to in this Article, include no-compete covenants, nonsolicitation covenants, and no-hire covenants. Although commonly found in employment agreements, they may also be entered into by distributors, franchisees, licensees, or other independent contractors, and are typical in the acquisitions of private companies.