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Non-Compete agreement to not to offer services for any of company's clients

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  • Non-Compete agreement to not to offer services for any of company's clients

    Hello,

    I used to work for a software consulting company 'X' which contracted me to offer software services to client 'Y'. Now I got a full time job offer from some other company 'A'. But my non-compete clause with consulting company 'X' goes something like this...

    "(1). Directly or indirectly enter into the employ of, contract with or render any services to or act in concert with any person, partnership, corporation or other entity engaged in the business of design, development and sale of ‘X’ services of the type being designed, developed and sold by ‘X’ on the date of the Employee’s termination of employment with ‘X’; or

    (2). Accept employment or a contract with, or otherwise perform services for, a ‘X’ client or any affiliate, subsidiary or parent client, or a subcontractor of a ‘X’ client or any affiliate, subsidiary or parent subcontractor of a ‘X’ client for a period of eighteen (18) months commencing on Employees last day of employment with ‘X’. In such event, ‘X’ will be considered a “Recruiting” agency or supplying “Contract for Hire” personnel and Employee is required to pay ‘X’ a sum equal to thirty percent (30%) of his/her annual salary offered for Employee’s services. This amount is due to ‘X’ within sixty (60) days of Employee’s last day of work for ‘X’".

    Company 'A' is a very big company with thousands of employees. There are chances that 'A' being 'X's client through some other employee. I do not know now or never knew before if 'A' was/is client of 'X' . I did not get any client's list from 'X' before either. If this is the case, can I accept full time offer from 'A' without breaching this contract? Is this type of non-compete agreement even valid in court of law?

    This agreement comes under the jurisdiction of Kentucky court.

    Note: My position in consultancy 'X' was just to provide software services to its clients. It was a software consultant job and I did not know any trade secrets of it.

    Please help.
    Thanks in advance

  • #2
    Noncompetes are enforceable in Ky. if the covenants are reasonable in scope & purpose. You'll need to take the noncompete to an employment or contract
    attorney in your area for review & get his/her opinion on whether the courts in
    your area would consider it enforceable.
    Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

    Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

    Comment


    • #3
      You may want to simply ask company "A"s HR representatives to consult their/an attorney concerning your contractual obligation. It couldn't hurt to have a potential employer "in the loop" on something like that, simply for future reference.
      Disclaimer: I am not a lawyer or qualified to practice law in any state. I only argue legal theory and politics, from an economics perspective.

      Comment


      • #4
        To summarize, the bottom line is you do need an attorney to review the agreement.
        Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

        Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

        Comment


        • #5
          Legal advice needed in Kentucky....any suggestions?

          I do not stay in Kentucky anymore but I need some legal advice on this at a modest fee. Any suggestions on how to obtain those services remotely? Any lawyer references or law firms which does this would help me a lot.

          Please suggest me something as time is running out very fast for me.

          Comment


          • #6
            This forum does not give referrals to specific lawyers/law firms. Sorry.

            You can contact legal aid or state bar assoc. for a referral to a no cost/low cost
            attorney in the area you need.
            Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

            Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

            Comment

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