Legal Question in Business Law in California

As long as you do not use any proprietary information obtained during your employment to start or run your business, such as teaching materials they provided, or student and prosepective student information, you should be fine. The key issue in all employee-going-into-competition-with-former-employer situations is the proprietary business information of the former employer. Most frequent are customer list cases where the dispute is whether the customer sought out the employee or the employee solicited the customer, and what information was exchanged or used. So you definitely do not want to solicit their students.

From the standpoint of becoming a competitor of your former employer, have no fear, state law encourages this. Do, however, avoid soliciting enrollments using any lists of students who were or are students or prospective students at the other school, or lists of their parents. This could be misappropriation of trade secrets. Finally, I am not in a position to comment on teacher-licensing or zoning, etc. aspects of your proposed new business or its location.

The other attorneys are right on point. As long as you do not use any proprietary information, student lists, etc. belonging to your former employer, there should be no problems. The law favors free and unfettered competition. Consult with an attorney in your area for specifics.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney