Legal Question in Business Law in California

Legality of Non-Compete Clauses

I am leaving the company I currently work for and starting my own. I don't remember whether I signed a non-compete clause or not. I have no record of it. I will be doing work for some of the clients that I got for my current company. I am the only company employee of my current company in the state of Utah. Their office is in California. I am loosing current clients for my current company due to their billing rates and practices and ethics. If I did sign a non-compete clause is it enforceable ? Especially when they have no prescence in Utah once I leave the company.


Asked on 3/19/98, 11:12 am

2 Answers from Attorneys
Delbert R. Phillips

Legality of Non Compete Clauses

Utah has no statuatory law in this particular area. The case law however indicates there must be a non compete agreement in order for your employer to have an enforceable right. There is however vague language that indicates if an employer is harmed by the use of trade secrets which could include client lists there may be a cause of action against the employee. Because you are in Utah you may give me a call if you want to discuss this further.

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Answered on 3/30/98, 9:30 am
George H. Speciale Attorney at Law

Legality of Non Compete Clauses

You must determine whether you have agreed torestrict your future activity after terminatingyour current employment. No general responseanswer your particular needs, and you will needto consult with an attorney.

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Answered on 3/30/98, 12:08 pm


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