Legal Question in Employment Law in California

If a contractor through some employment agency 'ABC', works for a client XYZ and has a non-solicitation clause in agreement with employment agency'ABC'. Then if contractor leaves the employment agency, and works with same client XYZ through some other employment agency. Is it breach of non-solicitation agreement, according to California law? or contractor is free to work for same client and there are no trade secret agreement which are disclosed.

Please advice.

Agreement states:

. PROHIBITED UNFAIR SOLICITATION OF CLIENTS

In order to prevent the misappropriation of trade secrets and confidential, proprietary information of ABC, and to protect significant investments made and commercial values earned over a period of time, and other valuable business property and assets of ABC, Employee agrees that both during his or her employment and any time after the termination of his or her employment with ABC, regardless of the circumstances of such termination, and whether with or without cause, he or she shall not, acting alone or in conjunction with others, in any capacity whatsoever, directly or indirectly, for himself/herself or for any other, as an agent, broker, consultant, director, employee, employer, investor, joint venturer, manager, member, officer, owner, partner, principal, representative, stockholder, or in any other individual or representative capacity, use, reproduce, or disclose to any other person or company, any proprietary and/or trade secret information of ABC, to call upon or solicit, divert or attempt to divert, through solicitation or otherwise, or accept, if offered, any business of ABC from (i) any client who was a client of ABC at any time during the twelve (12) months immediately preceding the effective date of his or her termination of employment, or (ii) any client who was a client of ABC as of the effective date of termination and with whom Employee had business contact and material involvement during the twelve (12) months immediately preceding the effective date of his or her termination of employment, or (iii) any prospective client(s) to whom ABC had made a presentation (or similar offering of services) within the one-year period immediately preceding the termination of your employment with ABC.


Asked on 3/04/11, 3:41 pm

1 Answer from Attorneys

Short answer: You cannot help another employment agency get the xyz account. If another agency independently gets the xyz account and places you there you would not be in violation of that clause.

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Answered on 3/07/11, 12:55 pm


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