Non-competes at work

by cognac 13 Replies latest jw friends

  • cognac
    cognac

    So, my work wants me to sign one. Except, I'm now looking for another job because they significantly dropped my commission. I believe they can fire me if I refuse to sign so I have to stall. I'm going to ask for certain edits to be made and say I need to show it to a lawyer, but any other excuses to stall?

  • JRK
    JRK

    In most states, you can refuse to sign it; and if they let you go, you can get unemployment because the nature of your job significantly changed. It may not be an option for you, but it is one possibility.

    JK

  • UnConfused
    UnConfused

    Does your contract state you can't work in the same field a certain distance from your current job, or can't start a business in the same field within a certain distance?

  • dreamgolfer
    dreamgolfer

    Hey,

    I had to deal with this a couple of years ago in Virginia,

    check your state and get a good Lawyer, as I belive they have to "Compensate you" if they ask you to sign such a document AFTER you have been working there for over 1 year?

    Drop me a note back and if I can help further, I will

    DG

  • Bobbi
    Bobbi

    Double check the law, I think in canada Non Competes aren't actually legally enforcible. Doesn't stop companies from making you sign them. Read over the wording very carefully and good luck with the job hunt.

    Bobbi

  • Band on the Run
    Band on the Run

    I am a lawyer (in case no one knows). See a lawyer. Most offer free or minimally priced consultations. It is state specific. Don't rely on general info on web sites on how most states treat these clauses. The timing of the request is interesting. If you calmly state you need to run it past your lawyer as tho you consult a lawyer on routine matters, they should have no fear. They presumably have a lawyer. The basic idea is not difficult but distance, field, etc. will change the results.

    It is so much easier for a lawyer to negotiate than you b/c the lawyer has no vested interest.

  • moshe
    moshe
    It is so much easier for a lawyer to negotiate than you b/c the lawyer has no vested interest.

    exactly- it's not her job that is on the line, if your employer gets upset with the "changes" and lets you go.

  • Anony Mous
    Anony Mous

    I would never sign a non-compete unless I get compensation for it. One job I did sign a non-compete for stated either they would lift the non-compete clause or I would get a full year's salary if I had to decline a competitor's job offer.

  • Justitia Themis
    Justitia Themis

    Covenants not to compete are based on each state's common law and/or state statute, so you need to consult an attorney in your state.

    I actually take an exam on employment law tomorrow morning, so this gives me a great opportunity to think about the subject.

    Like any contract, the covenant must be supported by consideration (i.e., your employer needs to give you something for signing). In most states, it will be enforced if the employer can show a legitimate business interest that he/she is protecting that is within your knowledge, AND the covenant is reasonable in duration, geography, and the scope of prohibited employment. All aspects of the "reasonableness test" (duration, scope, geography) are industry specific. In EarthWeb v. Schlack, the court decided that one year covenant was too long and refused to enforce the agreement because it involved the technology industry, so the employee would have been kept out of the industry for "several generations, if not an eternity."

    If your new job is in a different industry, or a different job within the same industry, the court may not enforce it. If you are in sales, and they are restricting you from too large an area, the court might not enforce it.

    Some states refuse to enforce them unless they involve trade secrets.

    As you can see, the validity of these agreements are based on the unique circumstances of each employer, employee, and industry. That's why you need to have an employment law attorney from your state examine the law and apply it to your specific case.

    BTW, your new employer could agree to hire you despite the non-compete and agree to pay your costs for your legal defense. Then, they could negotiate that with your old employer. In essence, they would be buying your contract.

    Good luck!

  • Glander
    Glander

    I signed a non-compete many years ago with a company. A few years later I wanted to leave and start my own company. I showed an attorney the document I had signed. He said it was non binding but that they could hassle me with it. So....I lost it before I could return it to the files.

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