Currently I work for a foodservice management company, and I signed a non-compete agreement. Basically it states that I cannot work for a competitor company within 16 months of current employment. My employer has really bounced me around lately, do to them losing accounts. I feel like I never know if I will have a job from one day to the next. One of the accounts we just left has offered me a full-time position with great pay. The problem is obviously that I signed a non-compete agreement. I am going to call the labor board tomorrow to see if there is anything to be done, but I thought I would ask you guys and see if anyone has ever been in a similar situation? Or are there any lawyer-bees on here that could offer some advice?
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What's the penalty in your contract for violating the non-compete?
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@KelLeeLeee: I signed one with my current employer but I know from others that have left it hasn't been enforced, although no one has ever gone to our main competitor. How close of a competitor would you be going to? A labour lawyer is your best bet at this point
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@KelLeeLeee: my DH did and from what I understand from him if the task he will be completing is not directly related to what he's doing now he could leave and go to a competitor without violating the agreement (in fact several old colleagues have)
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@septca: I'm not sure it says a specific penalty, I feel like I read something about them suing for loss of profits. However, I am a dietitian, nothing I do would lose or gain them money.
@mrswin: They're not technically a competitor its a facility we left, so I would be employed by the facility (a nursing home to be exact). I was thinking they probably wouldn't enforce it, but I don't know if they would make an example out of me.
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@KelLeeLeee: Ahhh the extra details help, I would think that since it is a former client (who already left them) it would be pretty hard to enforce....Is there anyone else that you feel comfortable asking?
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I would think that in order to be enforced, you'd have to be working for another food service management company. But you'll want to have a lawyer verify that.
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Oh, and I did sign one once, but I was working retail for a camera shop. I couldn't go work for another camera shop.
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@KelLeeLeee: I'm really not sure your non-compete comes into play here. My husband could leave at anytime and go work for a client without violating his non-complete clause. He just cannot go to a competitor.
@MaryM: I agree.
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I didn't sign one but my brother did. He had to wait until the contract with both companies expired before applying for his current job.
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I have to re-read the contract when I can grab it tomorrow, there might have been something in there that says you can't work for ex-clients as well. I hope not!
@mrswin: No
That's why I asked you guys, haha. I am going to call the department of labor tomorrow and see
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My husband did, but his was that he could not work within 5 miles of the practice for 3 years, I think. He debated fighting it, but a good job offer 8 miles away came through, so we never had to worry about it.
When we were discussing his options, a lawyer friend we consulted did say that most non-competes won't hold up in court (has your employer violated anything on their end, thus nulling your contract?), there are usually loopholes that can be found to get out of it.
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@KelLeeLeee: hard to say without knowing specifics of your non compete and the case law in your state but the general "rule" is the non compete must be reasonable in it's enforcement in like 5-6 areas (scope, duration, geography, etc). And like others said, there maybe an argument that the client who offered you the job isn't a competitor.
Is there a reason your employer should be worried about you leaving to work for the client? Sharing trade secrets, special knowledge/training provided by your current employer, client lists or other key data? In most cases I've seen noncompetes enforced at the executive level or in the tech area. But I've heard of stylists having noncompetes threatened against them (can't go work for the salon down the street). Usually it's not worth it to the employer to file suit to enforce a noncompete but some employers will contact the new company making them aware of the noncompete and the new company will sometimes rescind a job offer when made aware that there is one in place
Is there someone in HR that you are close to and trust that you could talk to this about and see what he/she thinks. If you are really worried about it could you get something in writing that states that going to work for the new company is not a violation of the noncompete?
Those are just my random thoughts but hard to say anything definitive without knowing more specifics
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Agree with @sandy: it has to be reasonable but the only way you'll know "for sure" if it isn't reasonable is if you go to court.
I'd just ask your company to waive the non-compete.
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@sandy: no, I am not management so I do not know any financial information. I basically do nothing for my company, I assess patients nutritional status and then go home
I'm thinking I might be able to get out of the contract because it's not technically the same position. I would be getting a promotion and be in a managerial role in the new company... And get paid double what I am making now.
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It doesn't sound like you're going to a competitor so I don't know why the non-compete would matter?
However, I have signed one twice now, including my current job.
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Yep twice! In both situations they didn't matter. They are both mileage based. I moved 300 miles away for another job last June and when I leave this one I will be going back to school to specialize. I do know my company is lenient with the noncompete, so maybe yours won't be a big deal.
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@KelLeeLeee: I just asked my dietary director for you (I work in an SNF) she said if you were consulting it's not a competitor. If you went to a diff consulting firm it would be.
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I signed a noncompete but in my state (PA) they're virtually impossible to enforce.
That's why I asked you guys, haha. I am going to call the department of labor tomorrow and see
I'm thinking I might be able to get out of the contract because it's not technically the same position. I would be getting a promotion and be in a managerial role in the new company... And get paid double what I am making now.
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