Legal Question in Employment Law in Washington
covenant not to compete as part of employment contract
I was employed for the past 10 years by an international corporation headquartered in Europe. In March of 1998 I was named President of the North American subsidiary. At that time I signed an employment agreement that had a provision for a one-year notice of termination without cause. It also had a provision that forbids me from competing against that company for a period of one year following the date of termination. I was given notice of termination in November of 2000(still on salary).This means the agreement terminates in November 2001 and I am not allowed to compete for one year following termination (November 2002). I have been diligently searching for a position - and nothing. Although it is a very specific industry, there are many competitors. As a reality check I contacted a few companies in this industry and got immediate and positive responses. I have to concluded that for upper management level positions the job market has become amazingly industry specific.
Pertinent facts;
The laws of Washington govern the original contract.
I worked in offices in the states of Washington and New York and on the payroll of a Delaware corporation operating in New York.
2 Answers from Attorneys
Re: covenant not to compete as part of employment contract
As a general rule, non-compete clauses are enforceable. However, whether a court will enforce a specific non-compete clause depends on numerous factors. The court will examine the particular industry, the type of work, the level of skill, and most importantly the scope of the agreement. With respect to the scope of the agreement, the Courts look at the geographic limitations of the clause, the time period of the clause, and any other relevant considerations. You have numerous options, each with pros and cons. I would like to discuss your options with you at a mutually convenient time. You may reach me at (914) 949-6323. I look forward to speaking with you.
Re: covenant not to compete as part of employment contract
I don't understand. If the 1 year starts from when they gave you notice of termination, isn't it up this November, 2001?
I would need to see your employ't contract to read what the agreed choice of law and forum is.
Feel free to call me for a free consultation over the phone at 1 800 282-4878
Rob Kornfeld
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