Legal Question in International Law in Michigan

Restrictive convenant/international non-competes

I left an employer with several weak non-compete agreements in place. The employer signed an agreement with a European company (X) forming a technology transfer and granting X unrestricted trade in Europe. In other words, my old company signed off that they can not compete in Europe with company X in exchange for $. X contacted me after my departure and wants me to work for them in Europe. My previous employer is posturing to block/poison my opportunity.

With nothing explicitly stated in any agreements in terms of Europe, do non-competes reach across the ocean? Regardless of the former, do the agreements even apply given that they signed off all business in Europe?


Asked on 5/27/03, 10:05 pm

1 Answer from Attorneys

Regina Mullen Legal Data Services, PLC

Re: Restrictive convenant/international non-competes

I suggest that if X wants you, that they hire counsel to represent you in defending the non-compete. I think you have a good policy argument here that says, that if your old company signed off on any rights to compete in a certain market, that, so long as you are not divulging trade secrets, they have no damages that can be proved should you go to work for X solely in Europe. I believe that the usual grounds for prevention rely upon foreseeable damage to the former employer. I think if all they can point to is "the principle of the thing," you might prevail. However, I think they could argue that if X would use your expertise here in the US, the argument for preventing you from working there for a period of time has greater merit. AND, you have to wonder how much job security you'll have in Europe with a company that knowingly looks to breach (on it's face) a contract that you have with another of their business partners. As for the enforceability of acts occuring outside of the US, I suspect that a federal court could impose damages...but I doubt they would if your old company can't prove any harm from your proposed action. In any event, get the company to pay for any legal action, and make sure you get paid no matter the outcome! Good luck!

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Answered on 5/27/03, 10:49 pm


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