• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Am I lliable for noncompete?

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

nailheader

Junior Member
Here's my history, I am an engineer in Arizona with an aerospace contractor. I have worked for the company for 2years. When I was hired I was made to sign a non compete agreement. The clause states that I cannot work for any of the firms customers for 6 months after I leave the company.

I have accepted a possition with another very large aerospace company in the same state. This company has several different business groups and they are seperate, and have a seperate site, but share the same overall name with a group that does have a contract with my company.

I did not get the new job through any contacts with my company, but with ones that I had before I was hired. The work is unrelated aspects of engineering, so there is no trade secret issues.

My company is not happy with my decision to leave, and there is "inuendo" a possible law suit, while still requiring me to finish out my 2 weeks of notice.

I have made my future employer aware of all aspects of this and they assure me that the groups are seperate business with the same name, and that they do not have a contract with my company. Although they may have had one in past years, it cannot be confirmed at this time.

Thanks in advance.
 


cbg

I'm a Northern Girl
There is no possible way we can advise you on the enforceability of an agreement we have not read. You will have to show it to a local attorney.
 

HomeGuru

Senior Member
nailheader said:
Here's my history, I am an engineer in Arizona with an aerospace contractor. I have worked for the company for 2years. When I was hired I was made to sign a non compete agreement. The clause states that I cannot work for any of the firms customers for 6 months after I leave the company.

I have accepted a possition with another very large aerospace company in the same state. This company has several different business groups and they are seperate, and have a seperate site, but share the same overall name with a group that does have a contract with my company.

I did not get the new job through any contacts with my company, but with ones that I had before I was hired. The work is unrelated aspects of engineering, so there is no trade secret issues.

My company is not happy with my decision to leave, and there is "inuendo" a possible law suit, while still requiring me to finish out my 2 weeks of notice.

I have made my future employer aware of all aspects of this and they assure me that the groups are seperate business with the same name, and that they do not have a contract with my company. Although they may have had one in past years, it cannot be confirmed at this time.

Thanks in advance.

**A: then what did your current company say about the clause?
 

nailheader

Junior Member
Thanks for the reply!

My current company said that it looked like the only "teeth" that the clause has is to prevent me from "moonlighting" for a customer, in competition of my firm.

But the pertinate language of the contract says this:

"The employee agrees not to accept employment directly or indirectly with any of employer's customers for which the employee performs services durring the term of this agreement." "This provision shall survive for a period of six months after the termination of this agreement."

I think that the real issue is what is the definition of a customer? Is a company that has done business in the past, but currently does not have a contract, still a customer? What is the seperation of one customer to another? For example:

Is GM engine assembly in Jackson MI, the same company (customer) as GM design group in Detroit? They share the same name, but they do different work, and have seperate locations within the same state.

While employed, I personally did not do any work on any contracts with the "business unit" that I will be going to work for. And my company does not perform the type of work I will be doing.

The way that my new employer describes it is this: The Tucson branch of their company is actually seperate, and my company has contracts with that "business unit".

Thanks again!
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top