Karl Jantzen: Yes, they can do it. Many companies these days have non-compete clauses and if you sign it, you're on the hook. As for whether or not they can enforce it, most companies have a legal team on their payroll so it really costs them nothing to enforce it. You, on the other hand, would have to hire an attorney to fight it. Right now, the company my brother works for is pursuing this avenue with one of his former co-workers who took a job in the same field after leaving the company....Show more
Libby Berkovitch: The law on employment agreements varies from state to state, but the general rule is that restrictions on competition that are reasonable as to extent (how far away do you have to go) and time are enforceable. Whether a two-year duration passes muster is something that has to be judged in light of your state's law. I can tell you, however, that no state allows an anti-compete that covers, e.g., the entire state. Depending on the business, it migh! t be enforceable if it imposed a 50-mile exclusion, a 150-mile exclusion. But no state allows no-compete clauses that are not geographically limited.If the employer violated that rule, again, the outcome depends on the state. In Georgia, for example, the court will "blue pencil" the restriction down to a reasonable radius. In New York and California, the whole no-compete clause is null and void if the extent or duration exceeds what is permissible.Meanwhile, don't forget that the coming thing in P/C insurance is to be a consultant, not a producer. By not being a producer, you can advise your insured candidly without fear that one or another carrier will cut you off: you will have cut them off pre-emptively. And you'll make more money, too....Show more
Dallas Bartolini: I've always thought these agreements were illegal, but I'm not an attorney. I don't see how someone can be precluded from earning a living. On the other hand, if the company can prove you are harming ! them, then it may be able to sue you on that basis. Or, for e! xample, if you stole one of its proprietary processes and then sold it or used it for your own benefit, then it would have a basis against you. If you think you have done nothing that can harm the company, then I'd test it. But get some legal advice first--contract attorney or Human Resources Attorney....Show more
Mack Ukich: iF you wnat a valid answer then you need to take the non-compete to a local attorney. These types of agreements are judged on their plain language and the statues of your particular location.
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