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Code of Conduct Enforcement

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Craven12

Junior Member
What is the name of your state? North Carolina
My wife was employed for 10 years with a company headquartered in Michigan and had never signed any type of non-compete. However, she did annually sign a Code of Conduct which simply states that she, upon her termination would never divulge proprietary information including pricing startegies to anyone or use this information to gain business through a competitor. She recently turned in her resignation and now is being hasselled by her prevoius employer to the point where they state she cannot sell there product or any other offering into any account that she had dealings with becasue of her previous knowledge. They have even gone as far as to state that she cannot sell TTR ribbons into any account in North America and the kicker is; there is no time limit on these restrictions. Basically, they are saying that she can never sell ribbons of any kind to any of these accounts or any other account in North America. She has taken a job with one of her previous employers customers and they feel she will leverage her knowledge to gain or take away business from them. They reference tort laws that hold up this Code of Conduct.
Is it legal to put a lifelong restriction on selling product in a very price volitile market? I sit legal for them to tell her to not visit or contact these accounts with other offerings than what they sell? Is it unlawful for her to offer a compettive product into these accounts without a non-compete?
Help!!! in North Carolina
 


Beth3

Senior Member
It doesn't appear her employer has any basis to insist on these requirements. Regardless of any code of conduct, your wife could not engage in tortious interference; that is, she cannot target the company's customers with the intention of causing them economic harm. However since she didn't sign a non-compete, it appears she's free to work for anyone she wants and engage in reasonable competitive practices with her current employer and any others.

If her employer gets too intense about this, your wife may want to consult with an attorney just to be completely assured of what she can and cannot do once she leaves their employment.
 

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