Legal Question in Employment Law in California

consultant contracts
Below is my issue : I relocated to the US (Sunnyvale, California) last year (2003). I came here on a H4 visa. Last May (2003), I got a job with a Californian company as a consultant. Since I did not have a H1B visa, I pproached a consulting firm in Michigan to sponsor my H1B. I paid all the expenses incurred in getting my H1B. Since then I've been working as their employee. Now, I got my EAD (employement authorization document) since my husband has moved forward in the Green Card process. Hence I can work without a H1B Visa. And the company I'm consulting for has decided to hire me directly as an independent consultant. My consulting firm, however, isn't willing to let me go. They are now mentioning a clause in the contract they signed with the company I'm consulting for. I believe that clause forbids my Californian company from hiring me directly or indirectly for a period of 1 year after the contract termination. I was not told about this clause upfront & I had no knowledge about it till now. Don't I have any rights in this issue? Is that clause valid? Please respond, Thanks,

Asked on 4/12/04, 2:36 pm

3 Answers from Attorneys

Amy Ghosh Law Offices of Amy Ghosh

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Re: consultant contracts

Need to see the contract before I can advise.

Take a look at my site at www.lawyers.com/amyghosh

Answered on 4/19/04, 2:53 pm

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Terry A. Nelson Nelson & Lawless

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Re: consultant contracts

It is a standard term in most 'consulting company' contracts to keep the company you work at from hiring you. The threat of suit will usually suffice to keep them from hiring you. You and the company hire you at risk - the term may or may not be unheld in any given case in the event of lawsuit. You can go to work for anyone else without risk.

Answered on 4/19/04, 5:02 pm

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