All about non compete agreements I Why they are not enforceable
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- čas přidán 27. 08. 2024
- Non-compete agreements are agreements that prevent you from working for a competitor after you leave your current job. If you have a non-compete agreement, it's important that you understand what it means and how enforceable it is.
In this video, we'll cover everything you need to know about non-compete agreements, difference from non-solicitation agreement, examples of Nutanix, Infosys non-compete, legal sanctity and what you can do to get out of a non compete agreement. We'll explain why they're not enforceable, and we'll show you the steps you can take if your employer tries to enforce one against you.
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I spent over three years working for a company and never got a pay increase, so I put in some applications, had an interview and got a job offer at a place that paid more, had better hours and was closer to my house. I put in my 2 weeks notice and left amicably. I worked to make new sales up until the end, selling $3500 on my last day there. Less than a week into my new position I got an email from my old employer threatening legal action for working for a company in the same industry within 25 miles of my old primary work location less than a year after my employment ended. It seems pretty unreasonable to me. They didn't train me and both my old employer and my new employer have hundreds of locations all over the US and abroad. It would be almost impossible for me to find a new position in my industry that is more than 25 miles from any of my old employer's locations.
Companies shouldn't be filing cases for employees making around median wages in the US, the legal expenses are just too high. This action seems to be meant at sending a message to employees. You may have a solid legal case, and may want to seek legal counsel. Your new company may have the legal resources too.
Even though you have made the video long back ago, but today it is giving me in info, regarding the same. That is why you must not care about views. Keep making the such relevant YT videos regarding employee legal stuff.
Thanks for the note Saurabh
Very well explained.
Thank you so much.
Welcome
🙏😊👍 Thanks a lot Sir for The Best Guidelines 🙏😊👍👌🎉👌
Appreciate it!! Thanks
Thank you sir. Your information is very clear and understandable
Glad you liked it
In Orlando, Fl, for 2 1/2 years, I was working as a W2 employee, but I was getting paid as a W1099 independent contractor without benefits and no overtime pay.
I've never signed a non-compete agreement, and about one month ago, I quit my job and started my own junk removal businesses, and yesterday, I was contacted by text message by my former employer and he was threatening me to stop and close my business because I violated the non-compete agreement.
I was working misclassified and never signed any non-compete agreement.
Can he sue me?
Can I report/ sue him because I was getting paid as an independent contractor, but I was working as a W2 employee every day from 8:00 am until he said you are clear for the day after 8, 10, 12, 14, 16 hours shift!?
You should talk to a labor law attorney. They know the best and the initial conversation is typically free. My reading of the situation is that the employer threatening you is an empty boast. It is a big waste of time and resources for lawyers to target ordinary people. Only senior executives in companies need to fear. You also have good ground to sue the employer yourself. What happened to you is a serious labor law violation. A lawyer or attorney will get you more specific advice.
My company made me sign a non solicitation agreement which prevents me from joining any company for 2 years. Hell I am a junior analyst.
Firstly, it is a scare tactic and not legally enforceable unless the company has invested disproportionately in your development. You can talk to a lawyer or the new company's legal team to get around this
I recently was terminated for opening up a commercial roofing service company LLC while working for a commercial roofing company. The president of the company found out about my company and terminated me under the Non - compete agreement. I had made no money on the LLC company I created. According to the agreement I can not work for a roofing company for 2 years. I have been in the roofing business for 25 years and am 53 years old. Pretty much all I know. I brought all my experience to that roofing company and they did not develop me in additional training that I already knew going in to that company. I spoke with lawyers and they seem to not be real supportive of the agreement being invalid or dropped. I live in NC. Thoughts?
Having worked in HR at California for many years, I would say that it all depends on the NCA. Unfortunately companies have a lot of upper hand in creating the agreement and have the bargaining power. It looks like a straight forward violation and while they could have given you a warning, it is sad that they decided to let you go. I do not think there is a legal recourse for you. Also I recommend that you not work for such a company anyway, which does not value you. Quick thoughts without knowing any other info about your case.
@@Careerbolt thank you for the response.
I signed a 10 year global non compete with my old firm. Don't know what their intention is when they made me sign. 😂😂
Absolutely invalid from a legal perspective and frankly preposterous. You could check with a lawyer.
Hi, I've signed an non solicit,non compete agreement with my current organisation in that they have they have mentioned "Solicit or appropriate any business opportunity or business of the organisation" and now I've got an offer from my client to work in a different organisation for the same project with a better pay and later over the period of 6months they'll take me as a permanent employee to the client company... Is this a violation? Does my current employer have the rights to file a case against me?
Hi Saravana, the new company has to do its own legal analysis and help you here. Share all the information with your new company, and they should be able to find a way out. Typically companies don't file cases for people below VP positions as the legal route is very expensive.
sir meri taraf se ek feedback hai agar aapko india ke liye content bana rahe hai to hindi banaye
Hindi videos ke bare mein soch raha hoon. Thanks for the feedback!
Thank you for this information.
Can the current organization withhold acceptance of your resignation and relieving letter even after completing the contractual notice period and asset handover because they are aware you are joining a competitor? If not, what are the options the employee has in such a scenario? Can the employee be termed absconding in spite of serving notice period?
It is difficult to say what the company will do. Generally it is neither worth their time or lawyers fee to teach a lesson to a junior employee, anyone below a director or VP position. In your situation a company should not withhold. Talk to the HR head in case of an issue. Don't talk about your future plans, that is none of anybody's business. However, one should ask themself if they are following the split of the code of conduct and also think about how such a move will look on the resume in the future. Again, every company is different in what it does. Talk to a lawyer.
@@Careerbolt Thank you for the perspective, much appreciated.
My Company forcing me to sign contract otherwise they will not allow me to fill timesheets
Yes Shubha, company will try to scare people. Read the agreement carefully though. Signing an agreement is not an issue, it is only a problem if they act unreasonably.
@@Careerbolt what i will do , i am in notice period and they are forcing me to sign non compete contract.
So sir we can join new company without any fear , company just send me yesterday an letter about NONCOMPETITION contract when j get final exit from saudi arabia. They want me to fear for that article.. Should i go back? I am a firefighter please let me know
Hi Faizi, this is not your problem, but you should flag this to your new company HR team. They will get back to you with the best way to proceed after doing due diligence. Typically companies will not waste their time filing legal cases as it is expensive. Your new company is your best guide. Whatever happens, do not go back to a company which threatens you, you owe ourself much better.
I signed a non compete agreement but haven't started the job. Am I still obliged to work for the company? my employment is "at will".
You have no obligation to join any company, but try to back off graciously. Non compete agreements are generally not enforceable for levels below VP. Choose the company right for you and be deliberate about it. This will save both sides a lot of grief.
What if they don't pay salaries stay caged jailed in same companies every company is competetor to the company as we work in same domain
NC agreements are a way to scare employees. You can always interview with other companies and ask them to hand the legal complications if you move over. Never stay in a company which doesn't value you.
My previous employer sent me a legal notice for breaching non compete law
Please help me sir.
Please get a lawyer as soon as possible. These things can be worked out, but do it through a corporate lawyer.
@@Careerbolt but sir isn't it illegal in India?
@@Careerbolt i am looking for one
@@nishantdhingra6979any luck?
I don’t think it’s fair that employees take your business strategy and open up a new business using the strategy that you taught them. It’s just going to cause mistrust and aggression between people. I’m a company owner and I believe that non competing agreement should be used as a way to enforce such delicacy. Given that you have put so much time and effort to build a company so that someone else take it for granted on your heavy work.
This video was meant for employees working in big MNC's. The essence is that NCA is not easy to enforce for junior positions in big companies. As you point out, it could be different for much smaller companies, where junior roles carry a lot more heft. A proper legal opinion is better in that case.