Legal Question in Business Law in California

Non-compete Agreement

I'm a salesperson for a software company and I signed a non-compete when I went to work for me present employer. I currently have access to most of my company's sensitive information, and developed many of our prospecting lists and tools. I've been offered a job with our number one competitor as Director of Operations. Can I legally accept the job? 1) If I'm sued by my current employer will it be thrown out of court. 2) what things can I do to stear clear of exposure?


Asked on 8/08/02, 1:47 pm

2 Answers from Attorneys

Timothy J. Walton Internet Attorney

Re: Non-compete Agreement

California public policy disfavors non-compete agreements. However, you need to have qualified counsel take a look at your agreement to determine the best course of action for you if you decide to take the other job.

For example, if the agreement specifies that the law of another state will apply, it might be beneficial for you to file a declaratory relief action in California to take advantage of California law on this matter.

Other issues include whether you can take your Rolodex or not.

My firm does a lot of employment law. If you want to give me a call, I can be reached at (650) 798-2418.

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Answered on 8/08/02, 2:10 pm
Martin Zurada Law Office of Martin Zurada

Re: Non-compete Agreement

It all depends on (1) how restrictive the non-compete clause is, (2) the wording of the contract, and (3) the extent to which your past and prospective duties would overlap. Some non-compete clauses are not enforceable under California law if they are too restrictive.

Even if your non-compete clause allows you to take the new job, a confidentiality clause very likely prohibits you from using proprietary information belonging to your former employer. Chances are that, under your employment contract, whatever you developed for the company belongs to your employer.

I strongly advise you to get an attorney. Getting legal advice now will save you a lot of headaches in the future.

I deal with employment agreements on a regular basis -- if you need specific advice please call me at (415) 637-8483 or email me at [email protected]

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Answered on 8/08/02, 2:22 pm


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