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Non Competes

2,270 Views | 14 Replies | Last: 11 mo ago by bam02
infinity ag
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Have any of you run into Non Compete related issues in your search?
Have you been sued by a company?
Do companies care to go through this?
What if companies fire/lay you off?
Fins Up!
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AG
Find you an attorney that does labor law in your state.
AgResearch
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AG
I had one and switched to a competitor into a slightly different position. New company knew old company wouldn't come after me. Still kept change as quiet as possible for a year just in case.

Coworker made the switch from and to same company as me but in a sales role. They had to sit out for a year with pay since territory was the same.

All depends. If worried consult labor with experience in your state.

AgResearch
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AG
infinity ag said:


What if companies fire/lay you off?


My old non-compete stated the agreement was void under those conditions.

So glad to not have one at new company.
infinity ag
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Asking for a friend. No, really, I am.
He got laid of along with me and is looking for a different kind of role. I sent him a job with a competitor that seems to be a good match and similar to one that he had done.

Since the company laid him off, I think it is unlikely they want to the bad publicity of suing an ex employee who just wants to put food on the table.
Fins Up!
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AG
I think Texas has laws that protect this, but again, I'm not a lawyer. Your friend should definitely consult one.
falconace
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As an employment attorney told me once when I had him review my non-compete/employment agreement to see if I could jump to a competitor (different position): "If they are litigious it doesn't matter." His perspective was that it didn't matter that my agreement allowed me to make the jump, if the old company was litigious (they were) then I would get sued and have to spend time and money defending myself.
falconace
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Also, I know of companies that will sue folks they fire/layoff if they go to a competitor next.
evestor1
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AgResearch said:


Coworker made the switch from and to same company as me but in a sales role. They had to sit out for a year with pay since territory was the same.

without consideration ... the old company can get lost!
ThunderCougarFalconBird
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AG
Sadly, this is the most realistic answer. Some companies might have an ironclad noncompete that would be enforceable but don't want the bad publicity or the bad image in the market.

Others might have weak (at best) provisions but are absurdly litigious.
bmks270
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AG
One company I worked at had a non-compete but never enforced it when occasionally an employee would jump ship to a large client. I don't know if there was any sort of back channel communication or gentleman's agreements in place when this happened to not enforce it. However, I think there would have been more hires by clients if it didn't exist.

My wife's company did sue a former employee who went to a direct competitor. That's the only time I've actually heard of a non-compete being enforced within my own network, so it happens, but it seems rare.

If the employee was laid off, I doubt the employer would enforce it. I think such employers would be extremely rare, but I'm sure such an ******* is out there.
Fins Up!
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AG
falconace said:

Also, I know of companies that will sue folks they fire/layoff if they go to a competitor next.


Especially in finance.
infinity ag
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I get the feeling that they sue only for top level employees. Like VPs and Chief of this and that. I don't think they care for "Engineering Manager" type roles. Yes, some information can be shared but nothing that makes a big difference.

Non Competes should be made illegal. No one should stop another person from earning a living. Are our courts sleeping?
mustang1234
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falconace said:

Also, I know of companies that will sue folks they fire/layoff if they go to a competitor next.
depends on the State
bam02
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AG
In my industry a hiring company will 110% respect a non-compete and be very conservative making sure they and a new hire aren't violating it.
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