Employment Agreements & Term of Emp

What is the name of your state (only U.S. law)?
California

Upon being hired by a professional svs firm (Agency), I signed an Employment Agreement, which stated that I would not go to work for one of the clients for a one year period following termination. If I went to work for a previous client, the client would have to pay a "headhunter fee" to the Agency. I was "laid off" by the Agency, without cause (no business) and the previous client now wants to hire me; however, the professional svs firm wants their fee. Are they entitled to this fee since they laid me off and it was not my choice to be unemployed AND the client terminated the relationship with the Agency prior to my departure?

Yes, they are.

It would be unheard of for a temp agency NOT to have such an agreement with their employees/clients. This is very, very common and very, very legal.

cbg said:

Yes, they are.

It would be unheard of for a temp agency NOT to have such an agreement with their employees/clients. This is very, very common and very, very legal.

Click to expand...

It's not a temp firm...I was a CPA working for a firm that provided professional svs to client...just like working for a public acct firm or a law office. So a firm can lay off a group of professionals, without cause and prevent them from working for a pass client? It seems I have a right to work.

If the client company has an agreement with your former employer stating this, absolutely they can. Your former employer has a right to protect its interests and clearly (since they are laying people off) they can't afford to NOT go after the fees they are entitled to from the client companies.