Legal Question in Business Law in Illinois

Non-Compete Agreement, Enforceable?

I work for a small executive search firm. Approx. 2 weeks ago, the president of the firm informed me that he has sold the company to an individual investor in another city, and will be leaving the firm to accept a position with a client. As my practice is seperate from the other members of the firm, he also informed me that I would immediately be sued if I attempted to leave and start my own firm based on my non-compete agreement.

After having an attorney review the employment agreement containing the non-compete, I was told that I am in the clear, and that any case against me for breaking my non-compete would be dismissed because of an Assignment of Agreement Article in the employment agreement which reads ''Neither Employer nor Employee may assign this agreement''

I want a second opinion because I am not interested in the potential of losing a lawsuit. Is this true, or could the contract be found enforceable?


Asked on 8/20/03, 10:17 am

2 Answers from Attorneys

Jay Pollak The Pollak Law Firm, LLC

Re: Non-Compete Agreement, Enforceable?

Caution!! You are trying to get a second opinion on the cheap. No one can give you an opinion without seeing the entire agreement. And, if someone gives you an opinion based on your post I would strongly urge you not to rely on it. Your livihood is at stake. Do things the right way.

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Answered on 8/20/03, 10:27 am
Barry040 Bayer Law Offices of Barry D Bayer

Re: Non-Compete Agreement, Enforceable?

This is a fact-based question, and, before opining on it, one must see the entire contract, plus review the relationship between the parties, know the state of the law in both the jurisdiction that might issue the injunction or award damages as well as the law of the jurisdiction whose rules will be applied, and of course, the nature of the sale of the business. (If the new "owner" will be purchasing stock of the corporation, an "assignment" of your contract may not be necessary and that assignment clause irrelevant.)

If you are speaking of significant dollars, I suggest that you retain a second attorney to get a second opinion.

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Answered on 8/20/03, 10:58 am


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