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Old 07-01-2005, 12:35 PM
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Join Date: Jul 2005
Posts: 4
Smile Noncompete Clause

I am ready to quit my job and move on. Problem is that I think there was a non-compete clause in my handbook or contract. I plan on working for a competitor and need advise re: problems I might encounter.
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Old 07-06-2005, 12:28 PM
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Join Date: Jun 2005
Location: San Francisco
Posts: 3
Default Non-compete

I may be wrong, but in California, I believe it's illegal to bar an employee from going to work for a competitor (however you can't take confidential documents or trade secrets with you). However if you have a contract and your were an IC it may be different.

Last edited by chasmo : 07-06-2005 at 12:29 PM. Reason: typo
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Old 07-07-2005, 08:43 PM
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Join Date: Jul 2005
Posts: 146
Default Be careful...

In California, non-compete agreements are difficult to enforce. However, if they are tailored narrowly enough then, under some circumstances, they can be enforced.

Regardless, this is a subject most people may want to avoid. Even if a former employer fails in enforcing a non-compete, they can tie you up with an expensive and time consuming legal process that can be just as bad as their enforcement of the non-compete, even if they loose.

Consider this: If you are going to leave your job for a competing company and are not planning to give up any trade secrets or do anything that your former employer would consider "unethical" or that would interfere with their business, consider being up front about it with your former employer when you are leaving and try to assure them that you will do them no harm. That's your best insurance that they won't pursue you.

Alternatively, if you do plan on using your knowledge of your former employer with a new, competing employer, hire a good attorney first. You may be OK, but make sure all your i's are dotted and t's crossed first. A second thing you should consider is the motivations of your new employer. If they are hiring you because of your competitive knowledge, will they just dump you after they get it? Will they leave you holding the bag when your former employer sues? Will they ever trust you knowing what you did to your former employer? Nobody employer I know trusts someone who has betrayed their previous employer. It's counter intelligence 101.

Consider your options carefully and make your decision. If you plan on taking a risky route, make sure you are prepared with good counsel before you commit yourself.
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