Non-compete in California
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Non-compete in California
I work for 3 companies, both providing the same service to different clients. I also provide services at a lower rate on my own time. Both companies are aware of this. I have never worked with any of their clients outside of my scheduled shifts. Even though they have offered to work with me under the table many times I always refuse. In the future I will want to own my own business (providing same services) and stop working with the 2 companies. I have been asked to sign a non-compete agreement by 1 of my employers, is it legal?
Asked on February 23, 2012 under Business Law, California
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
I believe that California does not enforce non-competition agreements against employees (though most states do); it will, however, enforce non-solicitation (i.e. don't contact their customers), confidentiality, and non-disclosure agreements. Also, if you are an independent contractor, the rules may be different: I believe that a non-competition could be enforced against someone who was an independent contractor, not an employee, at the time, since an independent contractor is technically his/her own business; thus, it would be an agreement between two business, not an employer and employee.
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