T
Tiga Statler
Guest
What is the name of your state? California
I developed a "Widget" type tangible, consumable product for a company I am still currently employed.
In 1999, the Widget product was formulated into its own Corporation separate from the parent company to which I work for. I was made a 25% partner in the Widget corporation.
After 1 year, my other partners bought me out for my 25% of the shares of Widget, Corp. for 60k payable over 2 years.
They insisted I sign a "Covenant not to compete" that states I can not create my own Widget product nor work for another company who would manufacture a competitive Widget product for a period of 5 years following my termination of employment with the Parent company.
Is this a legal and enforced act? What are the limits to my ability to work in the free-enterprise system of California based on this statement. Consider the Covenant to be conservative and very protective to the Widget Corp.
I developed a "Widget" type tangible, consumable product for a company I am still currently employed.
In 1999, the Widget product was formulated into its own Corporation separate from the parent company to which I work for. I was made a 25% partner in the Widget corporation.
After 1 year, my other partners bought me out for my 25% of the shares of Widget, Corp. for 60k payable over 2 years.
They insisted I sign a "Covenant not to compete" that states I can not create my own Widget product nor work for another company who would manufacture a competitive Widget product for a period of 5 years following my termination of employment with the Parent company.
Is this a legal and enforced act? What are the limits to my ability to work in the free-enterprise system of California based on this statement. Consider the Covenant to be conservative and very protective to the Widget Corp.