Legal Question in Employment Law in California

Is it legal for a co. to ban a former emp. of a co. they acq. from doing bus. wi

I have a lawsuit pend. against a former employer regarding a commission that was never paid. During this lawsuit, my former employer,along with my lawsuit,was acquired by a company that is the largest in my industry.I am a manufacturer's rep. and I do much bus. with this new co.They have agreed to settle, although they have stated that I am not to enter any of their facilities, interact with any of their employees,virtually not to do any future business with them.If we signed this I am sure my existing employer would let me go because it would decrease the profits tremendously. and would probably end my 20-yr. career.We told them that we will settle/sign the agreement if they delete these items and that there was never a problem with this new co. Now they want to know what co.I work for and the nature of business I do with them.If we go ahead and give them this information, and they still decide not to delete these items from the settle. agree., and we proceed with the lawsuit, is it legal for them to ban me from doing business with them during the pending lawsuit?Also, if we did just decide to sign it as is, is their request legal?If this did happen, would we have a case to come back at them again?


Asked on 9/30/00, 5:57 pm

1 Answer from Attorneys

Ken Koury Kenneth P. Koury, Esq.

Re: Is it legal for a co. to ban a former emp. of a co. they acq. from doing bus

I don't see that they have any obligation to do business with you or the Company work for, whether you sign the agreement or not.

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Answered on 12/17/00, 3:00 am


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