I have a 5 years employment contract (2 years left). There are no any words regarding to termination. Now I want to quit job here. The company lawyer told me they want to sue me if I quit job because I breach the contract. One more choice is staying here. Is it leagal in California?

It seems unusual that an employer would hold you to a contract. However, because this will involve looking closely at the contract you signed, I strongly suggest you contact an attorney in your state.

The part of contract is shown below, I signed this in March 2003. I do not think this is a five years contract. But company said this is a 5 years contract.
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The Company shall have the sole option to automatically renew this contract from month to month until December 31, 2008 . EMPLOYEE agrees that EMPLOYEE shall not have any outside employment.

That doesn't seem to hold any employee in virtual bondage. However, I'm not aware of the entire arrangement. Therefore, you should talk with an attorney.