Non-compete agreements at work

I know I signed one... what if I get a job offer from a competitor and they tell me I can't take it? One of my coworkers told me that they can tell us we can't take a job, but we still get paid (and don't work)

Re: Non-compete agreements at work

Most non compete clauses have a time limitation like 3 or 6 months.

It has nothing to do with a new employer hiring you. A non compete can only be enforced by your previous employer and all they can do is sue you if you work for a competitor.

I have signed a few in my career.


ETA: most of the time the previous employer only threatens to sue because the cost of suing is usually not worth the cost of loosing the clientelle or employee. However, there are exceptions to that like if you have a multi million $$ client and take them to a competor's company.

Message edited 8/13/2006 10:05:00 PM.

Re: Non-compete agreements at work

I'm not sure I"m following what you were told. I signed one at an old job I had, it said I wouldn't go work for a competitior for 6 months after leaving employment with them. From what I was told, had I gotten and accepted a job offer from a competitor they could have taken legal action against me (not sure what would come of that though)

Re: Non-compete agreements at work

You can work at a competitor if the company you signed the non-compete with signs a waiver.

Most companies don't go after people unless they are causing a significant loss in income. Small companies often don't spring for attorney's fees to sue you. They usually just send a threatening letter.

Re: Non-compete agreements at work

I will have to ask my coworker tomorrow for more info. I know she said something about getting paid from our current employer... maybe she was taking about something else.

Re: Non-compete agreements at work

the non compete should have a time frame, a geographic region, and a definitation of "competitor".

If there is no geographic region (i.e. 7 miles from our facility), the non compete would not be inforceable...unless you know your company's major trade secret.

Re: Non-compete agreements at work

Re: Non-compete agreements at work

My girlfriend just had to sign one and it says in hers for 3 years and she was told that she could be sued if she broke that.

Re: Non-compete agreements at work

I am a lawyer and I am hired often by companies to sue employees subject to non-competes who go to work for competitors. The non compete must be reasonable in term of time limit and geographical scope (though even if it isn't courts often just knock down the terms of the contract to what is reasonable and enforce it to that extent.)

Your former employer can go to court to enforce it and get a "temporary restraining order" preventing you from working for the company or sharing any of their confidential info (e.g. customer lists.) Most of my clients are brokerage houses or investment banks and the company they go to work for just settle on behalf of the employee for $$$$.