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Non-compete

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mikhol

Junior Member
What is the name of your state? Michigan

What is the name of your state? Michigan


I recently got laid off from a company. I signed the two below contracts when I was hired in a year ago. Now that I'm laid off and looking for something to do I want to start a buisness servicing foundry equipment. Basically its what I did for the previous employer. The company I worked for was an OEM and I would install, troubleshoot, and repair their equipment at the their customers location. We normally would be assisted by at least one or more mechanics from the customer. This makes me feel as though what I was doing is not to be considered confidential or secretive. Here are the contracts I will cut out sections I know have nothing to do with what I'm asking to keep it somewhat brief.

Agreement Not To Compete:

For, and in consideration of Employee's employment, or Employee's continued employment, Employee agrees to accept such employment, or continued employment, on such terms and conditions as set forth below.

1. Employee acknowledges that because of the nature of Employee's employment with company, Employee will be exposed and have access to information, technology and/or processes that company considers confidential, proprietary and/or trade secrets, including, but not limited to, client and customer lists; types and kinds of procedures used by Roberts Sinto; the costs, formula, and instructions covering companies services; and other information maintained for company continued buisness success.

2. Things I know don't apply.

3. Employee further covenants and agrees that during the one year period immediately following the termination of his or her employment with company, wether voluntarily or involuntarily, he or she will not:
(a) This section is crossed out and says N/A for position on it.

(b) directly or indirectly, engage in, transact or solicit business of the same or similar nature to the business of company with or from any company customers or clients, or cause, induce or encourage, directly or indirectly, any company customer or client to terminate or adversely change its relationship with company. Company customers and clients include but are not limited to, the corporate, divisional, or subsidiary offices of companies and their affiliates for whom company is providing services or who have executed a blanket purchase order, master agreement or similar agreement. "compnay clients" also include the corporate, divisional or subsidiary offices of those companies and their affiliates which have been actively solicited by the employee or any other company employees or agents during the last six months of employee's employment wiht company.

(c) doesn't apply

4. The parties acknowledge and agree that Employee could not engage in said competitive activities without necessarily using or benefiting from the confidential, proprietary and/or trade secrets of company.

So can I start my buisness? Or can I not contact any of the companies customers anywhere in the world? I'd assume I'm just using basic skills that any mechanic or electrician should have and what I'd be doing is shown to the customer when we did it so I don't view it as secretive or confidential. I do know that another company in another state services the machines made by company in that state. I also know that one previous service tech that got terminated is working for a customer of the company as a mechanic. So whats the verdict?
 


mikhol

Junior Member
No advice yet? I'm thinking more and more and the company is a Equipment manufacturer. That is what they do they build these particular machines. they do have a service department but it isn't the companies main goal. Since I don't plan on manufacturing anything just servicing I wouldn't be in the same line of work as Compnay correct? Well I'm hoping to hear back from someone even if it is a "no you can't".
 

RuGa

Member
Non-compete..

Generally most States allow a non-compete to focus on a small geographic location (usually a 25 - 50 mile radius). As what you've posted has no such stipulations, you might be able to "disregard" the agreement (as it is non-specific in geography).
Of course you should consult with an Attorney with specialized knowledge regarding this area.
 

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