Legal Question in Employment Law in Florida

I was employed by a company with whom I had a non-compete agreement. During my employment with company A I helped develop a new product. The owners/officers created a new corporation to handle the sale and management of that new product. My employing company changed to company B. After three years of employment with company B I left for greener pastures. The question is does the non-compete from company A somehow survive the new company's creation or am I no longer bound by it. Company A's officers and B's officers are 2/3rds the same but one does not own the other.

The reason for asking is a former client of company B is requesting that I do some work for them. I need to make sure that I am not bound by a non-compete even though what I signed is from company A.

Thanks!


Asked on 12/01/09, 8:02 pm

2 Answers from Attorneys

Sarah Grosse Sarah Grosse, Esquire

It is possible that the non-compete could be enforced by company B, but not necessarily. The non-compete could have language making it enforceable by 'successors, assigns, licensees...' , and company B may be a successor in interest. Additionally, it would depend what service you intend to perform for the former client of company B (the same service, related to the new product you developed, or other). And, finally, not all non-compete agreements are enforceable in FL as that must be "reasonable" in time, geographic area, and scope.

You should have an attorney review your contract and give you an assessment before you proceed. Better to err on the side of caution!

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Answered on 12/07/09, 6:40 am
Hunter Chamberlin Chamberlin Butler & Crowe, P.A.

I would doubt very much that the non-compete from the first company is enforceable, but without seeing the document itself and knowing more facts, I cannot say for sure. My firm has experience handling these types of agreements, and would be happy to take a look at yours. Please feel free to give me a call or e-mail me at your convenience.

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Answered on 12/07/09, 9:48 am


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