Non Compete Agreement

[toastonastick]

Anyone ever been takin to court on one of these. I was just served papers asking for one million in damages. Yes I did sign it and then go to a competitor. But the working conditions had gone to shit and were not the same as when I started there. Four other people quit fo the same reason and said that they would testify or whatever to help me.

So I am suppose to keep working at a shitty employer because I signed a non compete agreement, when others will testify to that fact? The business I am in, is the business I know and could'nt make near the money in another feild.

I really think this is more of a scare tatic than anything else.

Like I have a million just sitting in the bank!

My new employer is providing counsel but wont pay if there is a judgement against me.

Any suggestions?

 

[Blackman]

I'm no lawyer - but I find it hard to believe that they can hold you to this - you have a right to work. I had to sign one when I took my current job, asked around and I got the impression that it is not worth the paper it is printed on.

Hopefully someone with actual experience on this can weigh in for you.

GL with your situation, I think you'll be fine.

 

[Chain Saw]

Not an attorney either. But it does depend on what state you're in. General consensus is that most are non-competes are uninforcible.

Remember one important thing. Your new company that is providing counsel. Unless you are paying his fees-he is not your counsel - he (or she) is the company's counsel and looking out for their best interests not necessarily yours.

Best of luck.

 

[hemiscatpak]

I used to work for a law firm, that made all of its employees sign one of these, and one guy went to work for a competitor, my boss found out, sued him, and though he didnt disclose how much my boss won, he did win.....so id definately consult an attorney if i were you....good luck

 

[loophole]

while there are many restrictions on the enforceability of covenants not to compete, do not assume that they are not binding contracts in all situations. their legality varies wildly from state to state and from industry to industry. generally, they must contain reasonable geographic and time limitations, and they must be supported by consideration - that is to say, they must be signed at the time you take a new job or you must be given some kind of additonal compensation. bottom line is you should immediately take your agreement and go consult a local attorney.

 

[acehistr8]

their legality varies wildly from state to state and from industry to industry. generally, they must contain reasonable geographic and time limitations, and they must be supported by consideration

This is an excellent explanation. I got threatened with legal action and had to consult an attorney about this. The bottom line was the non-compete was so vague it prohibited me from working for the federal government or any firm that did business with them - in DC this would not be considered reasonable by any stretch of the imagination. When I approached my former boss about it, he backed off.

But dont be fooled, these can and are often enforced, maybe not for a million but they could smack you for damages and the court would uphold it. You cant really quantify "shit" working conditions to the court, unless its something like not getting paid for a few months because they ran out of money. I mean, thats work. Conditions are dynamic and change all the time, sometimes wildly, especially in this economy. The court wont buy the 'this job sucks now' argument if the covenant is reasonable. As crappy as that sounds, its the truth.

It would help to know the field you are in, also if you could print verbatim what the clause states.

 

[Mjolnir]

consult a lawyer.
i had to sign these a few times in the past. i sell packaging and displays. you are allowed to make a living but there are things that you can do that would get you in trouble.
don't take any customers that they handed you and bring them to the new employer. if you brought customers to them, try to keep them, if you brought in accounts while you were there i would try to keep them. you can say that they are there because of you. i found that it was a scare tactic.
YOU MUST BE VERY CAREFUL WITH YOUR NEW EMPLOYER.
you don't want them to get a bad taste because of this.
if you don't produce quickly they might start to feel they made a mistake by bringing you in.
good luck and please post what the results were.

 

[toastonastick]

Thanks for the responses!! Sorry it took so long I was out of town.

I work for a printer harwdware and supply company focusing on large to midsize offices.

I brought all my business to my previuos employer and brought on new business as well. So I was never given any accounts .

The funny part is it did'nt bother them at all when I brought accounts to them from another competitor.

I have been told they are hard tto enforce because Georgia is right to work state.

This agreement is four pages so I kinda dont want to type the whoile thing.

 

[ocelot]

So where's Eddie Haskell on this? Come to think of it, where's Eddie been - period?

 

[djv]

I believe if you just go and you bring none of your customers with. No problem. If some change and go with you. Inless then a certain time fram agreed to. There may be some problems. It should be spelled out for you before you get to a court room.
They would have ahard time providing info you cost or will cost them a millon dollars in a year.

 

[toastonastick]

I have taken my customers with me , the same ones I brought to them. Then I'm offered more money and they would'nt match it so I left. So because I signed this agreement I have to stay and make less money for the same job?

Sounds kind of like communism?. I think a jury would see my point:shrug:

 

[djv]

If you signed a agreement that could be the problem. If you did not then you should be ok. It's all about what is in the signed agreement about customers.

 

[ferdville]

I have signed these types of agreements in the past. For one, they should be very precise in spelling out the terms. If it is vague, all the better for you. Like others have responded, sometimes these can be enforced and sometimes they are not. Often times it seems that it is up to the former company. You need to at least have a short visit with an attorney on this matter.

 

[toastonastick]

Update---

Motion to dismiss was granted

Agreement was seen as unreasonable by the judge:tongue

Plantiff is to pay all court costs and Attorneys fees:thefinger

HA HA

Now I go after each and everyone of there accounts with a no hold barred attitude!

 

[Turfgrass]

Congrats! I'm glad you beat those commie bastiges!

 

[SixFive]

:toast: :moon: :Yep:

 

[dawgball]

toast--CONGRATS! I can't stand the abuse of non-compete clauses on employees. If you don't mind me asking, what type of business are in here?

you can get my email from jack if you do not want to post it here.

 

[toastonastick]

Dawgball-

I am in the printer business. I sell printer systems as well as the consumables that go along with them. There is a good deal of relationship selling in this field.

Why do you need some, I'll be happy to sell it to ya!