Contract Drafting and Review Services

A well-drafted Illinois employment agreement should include the employee’s title, duties, and reporting structure; compensation terms including salary, bonus eligibility, and commission structure if applicable; at-will employment status or term of employment; benefits and paid leave provisions compliant with Illinois law; confidentiality and intellectual property assignment clauses; any restrictive covenants (non-compete, non-solicitation) that comply with the Illinois Freedom to Work Act; termination provisions including notice requirements and severance terms; dispute resolution mechanisms; and governing law provisions. For executives, additional terms should cover equity compensation, change-in-control provisions, and golden parachute clauses.

Yes, but only if they meet the requirements of the Illinois Freedom to Work Act. Non-compete agreements are unenforceable against employees earning less than $75,000 per year. Non-solicitation agreements are unenforceable against employees earning less than $45,000. The employer must provide 14 calendar days for review and advise the employee in writing to consult an attorney. The agreement must be supported by adequate consideration, which under Illinois case law (Fifield v. Premier Dealer Services) generally requires at least two years of continued employment if no additional compensation is provided at signing. The restrictions must also be reasonable in scope, duration, and geographic area, and must protect a legitimate business interest such as trade secrets or client relationships.

Costs depend on the complexity of the agreement. A standard employment agreement or offer letter is less complex than a C-suite executive compensation package with equity provisions and change-in-control clauses. We provide clear fee estimates before beginning any work, and many contracts can be completed on a flat-fee basis. For employers who need multiple contract types or ongoing drafting support, we offer outside counsel arrangements that reduce per-document costs. Contact us to discuss your specific needs and we will provide a transparent estimate.

We strongly advise against it. Template contracts are rarely compliant with Illinois-specific requirements. Illinois has unique rules around non-compete enforceability, commission payment obligations, paid leave requirements, and restrictions on non-disclosure clauses in separation agreements. A template that was drafted for another state or based on outdated law can create more liability than having no contract at all. For example, a non-compete clause that lacks the required 14-day review period or does not meet the Illinois salary threshold is void — and may expose you to the employee’s attorney’s fees under the Freedom to Work Act.

A non-compete agreement prohibits a former employee from working for a competing business entirely, typically within a defined geographic area and time period. A non-solicitation agreement is narrower — it prohibits the employee from soliciting the former employer’s clients, customers, or employees, but does not prevent the employee from working for a competitor. In Illinois, non-solicitation agreements have a lower salary threshold ($45,000 vs. $75,000 for non-competes) and are generally easier to enforce because courts view them as less restrictive. For many employers, a well-drafted non-solicitation agreement combined with a strong confidentiality agreement provides adequate protection without the enforceability risks of a full non-compete.

If your contracts contain unenforceable provisions, those provisions may be struck down entirely by a court, leaving you without the protection you intended. In some cases, Illinois courts may blue-pencil or modify an overbroad restriction, but courts are not required to do so and some will simply void the entire clause. Additionally, the Illinois Freedom to Work Act allows courts to award the employee’s attorney’s fees if the employer attempts to enforce an unenforceable restrictive covenant. We recommend having your existing contracts reviewed and, where necessary, updated. For current employees, new consideration (such as a bonus or promotion) is typically required to implement a revised agreement.

While not strictly required by statute, written independent contractor agreements are essential for protecting your business. Without a written agreement clearly defining the relationship, scope of work, payment terms, and independent nature of the contractor’s role, you are exposed to misclassification claims. The IRS, Illinois Department of Employment Security, and Illinois Department of Revenue can all challenge contractor classifications. If a contractor is reclassified as an employee, you may owe back taxes, unemployment insurance, workers’ compensation premiums, unpaid benefits, and penalties. A properly drafted independent contractor agreement is one of the strongest pieces of evidence supporting the classification.

Employment contracts should be reviewed annually, at minimum, to ensure compliance with new Illinois legislation. Illinois passes employment law changes nearly every legislative session. Recent changes affecting contracts include the Freedom to Work Act amendments, the Workplace Transparency Act’s restrictions on non-disclosure clauses, Paid Leave for All Workers Act implications for PTO provisions, and evolving salary thresholds for non-compete enforceability. Contracts should also be updated whenever you change compensation structures, expand to new states, or modify job roles or responsibilities. An annual review by an employment attorney is the most cost-effective way to avoid enforceability problems.