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Enforeability Of Unsigned Non-compete?

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G

Garyfran

Guest
What is the name of your state? NEW YORK

Hi. This question has 2 parts, which are related to the same job but different agreements. This is PART ONE:
I am a senior VP of Technology and I have just been laid off. My letter of termination refers to a Restrictive Covenant Agreement (see below). However, I did not ever sign the Restrictive Covenant Agreement. The company has a standard Restrictive Covenant Agreement which all employees are supposed to sign – I just avoided doing it and it slipped by unnoticed. Obviously I have to sign the letter of termination in order to receive my severance pay. My question is, could I be bound by the Restrictive Covenant Agreement, in particular the non-compete clause, if I never signed the agreement in the first place? Next question – if the document is binding, will a court really hold up a one-year non-compete that is as broad as this? Although the industry is somewhat specialized, my role as a Technology officer is largely generic to any type of business. Thank you. Extracts from the 2 agreements are below:
FROM RESTRICTIVE COVENANT AGREEMENT (NOT SIGNED):
NON-COMPETITION
“At all times while the Employee is employed by the Company and for a one-year period after the termination of the Employee’s employment with the Company for any reason, the Employee shall not, directly or indirectly, engage in or have any interest in any sole proprietorship, partnership, corporation or business or any other person or entity (whether as an employee, officer, director, partner, agent, security holder, creditor, consultant or otherwise) that directly or indirectly (or through any affiliated entity) engages in competition with the Company (for this purpose, any business that engages in the e-mail marketing or direct marketing business shall be deemed to be in competition with the Company)”

NONDISCLOSURE
The Employee shall not at any time divulge, communicate, use to the detriment of the Company or for the benefit of any other person or persons, or misuse in any way, any Confidential Information (as hereinafter defined) pertaining to the business of the Company. Any Confidential Information or data now or hereafter acquired by the Employee with respect to the business of the Company (which shall include, but not be limited to, information concerning the Company’s financial condition, prospects, technology, customers, suppliers, sources of leads and methods of doing business) shall be deemed a valuable, special and unique asset of the Company that is received by the Employee in confidence and as a fiduciary, and Employee shal;l remain a fiduciary to the Company with respect to all of such information. For purposes of this Agreement, “Confidential Information” means information disclosed to the Employee or known by the Employee as a consequence of or through his employment by the Company (including information conceived, originated, discovered or developed by the Employee) prior to or after the date hereof, and not generally known, about the Company or its business. Notwithstanding the foregoing, nothing herein shall be deemed to restrict the Employee from disclosing Confidential Information to the extent required by law.”
_______________________________________
FROM LETTER OF TERMINATION (to be signed any day now):
6. Confidentiality & Non-Disclosure
“Your obligations under the Restrictive Covenant Agreement, which you signed as part of your employment, continue in effect, both through your Termination Date and thereafter. These include the obligation not to disclose confidential or proprietary information of X, Inc. or its partner companies.”
 



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