Legal Question in Business Law in California

Re: Individual's right vs. non-compete clause

If you can prove that your offer pre-dated the move by the former partner, that should eliminate him as the source and, therefore, he would not be culpable. Now, whether your employer would sue anyway, no one can say. That uncertainty maybe what the new employer wants to avoid. Maybe getting an attorney's opinion letter would put his mind at ease.

Re: Individual's right vs. non-compete clause

You have stated the facts, your questions and position quite well. Based upon what you are saying in this correspondence I would say you that any kind of transfer into the other firm should be done, especially at this time with caution much should not in any way the facts you materially. Given that, my best advice is before you do anything goes see an attorney in person who he has schooled in employment law. You cannot rely solely on any advice given the nature of the question you a vast and the numbers of facts which are undisclosed. But more importantly, yes and the company who has previously made two offers does not now wish to hire you because they fear the litigation costs being too much why would you even ask if there is any claim against them. There's no question you should look out for your own good with this is not the kind of situation where you should be looking for claims to benefit yourself at the expense of either of the companies involved in this situation. That in my opinion is ludicrous.

Re: Individual's right vs. non-compete clause

I would take the position that the 'no hiring' clause is unenforceable under California law. The 'no recruiting' clause, on the other hand, would be enforceable for a reasonable period of time, because information about co-workers' talents is a kind of trade secret.

I would say that the fact that the other company has known about you and offered you employment in the past would be a good defense to any suit by your pesent employer based upon a trade secret theory, i.e. the no-recruiting clause. I assume that any recruitment of you by the former partner is a minor factor in your awareness of the job opportunity.

My best guess is that, at most, the former employer might threaten legal action, but would back off upon being advised of the defenses available. Therefore, if the proposed new employer is willing to make an offer (and is aware that a threat might be provoked), I would be inclined to advise you to accept it if the company and you are up to the possibility that there is a slight risk of suit or threat of suit but that you have solid defenses.