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employment agreement: customers clause

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pstrguy

Junior Member
What is the name of your state?Greetings from Wisconsin!

I'm currently employed at a software design company and considering accepting an offer with one of our customers. Of course, my employment agreement has the following clause that I do not wish to discuss internally:

Until the earlier of three (3) years after the date you became employed by Company or six (6) months after the termination of your employment (whether initiated by you or by Company), you will not, without first obtaining written consent, be employed by, assist, have an ownership interest in (other than the ownership of less than 1 percent of a publicly-held company), or serve as an officer, partner, director, or consultant to, any employer who was a customer or prospective customer of Company while you were employed by Company, except to the extent that your employment or other association with such direct competitor does not relate in any way to software.
August 5, 2005, will mark my 3-year anniversary at the company. Per the paragraph above, does that mean I’m free of any restriction (i.e. no written consent required) or must I still wait 6 months after that 3-year mark?

My experience level does not yet warrant an “officer, partner, or director” position and certainly there’s no way I’m getting 1 percent of any publicly traded company.

Any comments would be much appreciated!
 


BelizeBreeze

Senior Member
Quote:
Until the earlier of three (3) years after the date you became employed by Company or six (6) months after the termination of your employment (whether initiated by you or by Company), you will not, without first obtaining written consent, be employed by, assist, have an ownership interest in (other than the ownership of less than 1 percent of a publicly-held company), or serve as an officer, partner, director, or consultant to, any employer who was a customer or prospective customer of Company while you were employed by Company, except to the extent that your employment or other association with such direct competitor does not relate in any way to software.
It means that even if you quit now, you could still become employed by the competitor on the three-year anniversary of your start date, since it would come earlier than the six-month date after termination.

In either case, your earliest date would be August 5, 2005.
 

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