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Severance & non-compete Arizona

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  • Severance & non-compete Arizona

    Upon termination I received a severance agreement for 4 weeks pay which precludes me from bringing any future claims against my former employer. I'm guessing the language is standard but am concerned that because the company is currently engaged in a federal lawsuit I could be subpoenaed and 4 weeks pay most likely not cover the cost of this. I feel the chances of being subpoenaed are slim (I'm not an executive and am not named in the suit). I have not signed my severance agreement yet and was wondering what my best option is: not sign it so I can still try to re-coup costs if I am subpoenaed, try to negotiate for a higher payment or simply sign it.

    A second question regarding the enforceability of non-compete agreements. The language of my non-compete with the now former company states that I cannot accept employment from a company that directly or indirectly competes with my former employer for a period of 2 yrs. Is this standard language and enforceable? 'Indirect competitors' seems quite restrictive.

    Feedback on either of these issues is greatly appreciated and I'm willing to provide any additional information for clarification if necessary. Thank you.

  • #2
    It would be imprudent of us to comment on the enforceability of documents we have not read in their entirety. Plus noncompete agreements are very state-specific. The devil is always in the details. Have a local atttorney versed in contract/employment law advise you.
    I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.


    • #3
      What costs of the subpeona? Other than your time if it is even requested, I'm not sure what costs you believe there will be. If you had nothing to do with the suit and aren't named in the suit, the chances that you would be brought in at a later date are remote.

      We can not comment on a contract we have not read. You should take it to a lawyer if you question the terms.
      I post with the full knowledge and support of my employer, though the opinions rendered are my own and not necessarily representative of their position. In other words, I'm a free agent.


      • #4
        I don't understand either what costs you believe will be involved should you get a subpoena.

        You'll need to have the agreements reviewed by an employment or contract attorney as suggested.
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        • #5
          If I am reading the post correctly, I think this can be boiled down to "does it violate the 'no lawsuits' clause in the severance package if I am subpeanaed (sic)"?

          Usually, the non compete covers actions you would bring against your former employer... not in any cases that you are forced to be a part of.

          You cannot order a judge's order to appear... no contract can force you to break the law.

          Having said that, an attorney's attention is definately in order.
          Not everything that makes you mad, sad or uncomfortable is legally actionable.

          I am not now nor ever was an attorney.

          Any statements I make are based purely upon my personal experiences and research which may or may not be accurate in a court of law.


          • #6
            Regarding the subpoena, I was thinking that I would be incurring the travel costs and would have the costs of retaining a lawyer. I get the impression I was off-base in those assumptions.

            As for the non-compete, I will consult a local attorney.

            Thank you for your replies.


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