Legal Question in Business Law in Michigan

I signed a non compete contract as an independent salesperson in Michigan to sell advertising for a company in Pennsylvania. The contract states that I am to have no contact with any client if I leave the company ( terminated or voluntarily ) and doing so I am subject to a 25,000 fine. I left the company because I was not getting paid per my verbal agreement ( I have no written agreement for pay ) and a few other issues I had with the owner. Basically, he was making me a nervous wreck and when I asked him about why the product I sold had not been produced and delivered, he went ballistic on me. I have been worried sick that the people who signed up in good faith have been frauded ( I said so to him at one point ) and I have my own issue of what I am still owed. He sent me an email stating that the ads would be completed by the 22nd of this month ( approx. 30-60 days pass due ) and again reminded me to have no contact with anyone....or be sued. I have received several phone messages from worried clients and have left as my voicemail message the statement that I am no longer employed by this company and to direct all issues with them ( I am afraid of being sued or would willingly contact all ) but still they leave me messages...my reputation is suffering and I live in this area, would never mislead anyone and do not know what to do?


Asked on 1/19/10, 6:36 pm

2 Answers from Attorneys
Timothy Klisz Klisz Law Office, PLLC

I guess I don't recognize your specific question. You no longer work there and should have no contact with the former customers. If you have your own dispute, you need to take your own legal action. Www.kliszlaw.com. Tim Klisz

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Answered on 1/24/10, 6:45 pm
Adel Fakhouri Latinis, Fakhouri & Haddad, PLC

It would be best to sit down for a formal consultation to better address your issues. However, it seems that you would have a claim for collections for unpaid services rendered. Also, this non-compete clause sounds like it has many "holes" in it, which would not necessarily preclude you from future contact of these clients. For example, if you are serving as an independent contractor to this company in Pensylvania, and these leads are yours. We could very well argue that these are actually YOUR clients and thus, this non-compete may not preclude you from continuing to do business with them. However, a more formal review of your agreement must be done prior to arriving at any concrete decision. I would be happy to discuss during a free consultation.

Adel Fakhouri, Esq.

Latinis, Fakhouri & Haddad, PLC

26300 Telegraph Rd., Suite 103

Southfield, MI 48033

(248) 945-3400

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Answered on 1/25/10, 1:22 pm


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