Legal Question in Employment Law in California

Company Split - Can One Partern Not Allow Other To Hire Employees With A Contrac

My company which has two principles is splitting. One parter is buying the other out of the business. The other parter is going to start his own business. In their contract for the buy-out, the parter that is starting new cannot financially compensate ANY current employee of the company for one year. I am wishing to leave the company and work for the parter that is leaving. Is it really a legal contract item that I cannot go to work for the other partner? Also what if the remaining partner fires me? Can I not gain employment with the other partner to support my family? Something doesn't seem legal here to me. Is there any way around this?

Thanks in advance for any input you may have.


Asked on 7/29/05, 7:46 am

1 Answer from Attorneys
Carl Starrett Law Offices of Carl H. Starrett II

Re: Company Split - Can One Partern Not Allow Other To Hire Employees With A Con

Although I doubt that the provision is enforceable, that isn't really the point. The only way you can get hired is if the other person is willing to hire you and take the risk of litigation. You are not a party to the contract, so you have no standing to object.

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Answered on 7/30/05, 12:49 am


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