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re: Say there's no non-compete clause...
Posted on 1/26/23 at 7:40 am to VABuckeye
Posted on 1/26/23 at 7:40 am to VABuckeye
quote:
So you want to quit your job, start a new company and go to war with your old company over their (not your) client base. Let's see how this plays out.
"Their" clients. His relationships.
Posted on 1/26/23 at 7:42 am to Tvilletiger
quote:Sounds like solid internet legal advice. How many non-competes have you litigated in OPs jurisdiction?
Judges are not big fans of no compete clauses by rule of law. You could probably just go to court if necessary and it was worth it.
Posted on 1/26/23 at 7:45 am to wadewilson
quote:
"Their" clients. His relationships.
His relationship status with them isn't protected by law, I imagine.
THEIR relationship status may be protected by law, with or without a non-solicit or non-compete.
In Louisiana a client list is a trade secret in many cases (there are some factors to qualify but they're standard operating procedures). This has it fall under the Uniform Trade Secrets Act and possibly the Louisiana Unfair Trade Practices and Consumer Protection Law. You don't want to be on the wrong side of either of these laws.
I imagine most states have similar laws.
Posted on 1/26/23 at 7:50 am to vuvuzela
Good luck. A lot of companies do back down when you threaten to get an attorney involved
Posted on 1/26/23 at 7:54 am to wadewilson
quote:
"Their" clients. His relationships
The company still owns the clients.
Posted on 1/26/23 at 8:00 am to vuvuzela
Your current employer is going to sue you regardless, so go ahead and hire a lawyer now.
Posted on 1/26/23 at 8:04 am to el Gaucho
quote:
Sad that you millenials have no company loyalty these days. Us boomers have worked for the same boss man for 40 years and have reaped the benefits while you millenials hop around for a couple more dollars an hour
I read this and knew it was El gaucho before I saw the name.
Posted on 1/26/23 at 8:04 am to vuvuzela
quote:if you don’t already know the answer, you aren’t in a position to move em where you want em.
Theoretically though, when you are meeting with them and they theoretically know you are A+, how do you subtly ease them into it? I mean, you wouldn't want to time it wrong and have flags set off. You can trust some, but not all.
Posted on 1/26/23 at 8:07 am to Tvilletiger
quote:why do people say this.
Judges are not big fans of no compete clauses by rule of law. You could probably just go to court if necessary and it was worth it.
If you have a properly written agreement judges will order it upheld.
However, on a simpler view, you signed it. Honor it. But if it is written to meet the requirements of La it will be upheld. Judges don’t like or dislike them, thru are either written correctly or not
Posted on 1/26/23 at 8:09 am to vuvuzela
quote:
Agree. Theoretically though, when you are meeting with them and they theoretically know you are A+, how do you subtly ease them into it? I mean, you wouldn't want to time it wrong and have flags set off.
Bring a temp business partner. Let them do the "negotiating"
Posted on 1/26/23 at 8:17 am to vuvuzela
I am going to tell you this from experience. You can have a no compete lifted and you are able to open your own shop. That language will probably be lifted. You also more than likely have a non raiding, non piracy clause and I had t head those going anywhere. That is using proprietary information of your former employer against them.
Courts do not look favorably on stealing customers. They look fondly into having an opportunity to make a living and don’t like non competes but that is not the same as them looking fondly on stealing customers. Furthermore should company sue you even with no claim it can’t rag out for years to the tune of $100k’s.
For the record I’ve been through it all and didn’t even solicit a customer and actively turned them away but lawyers are expensive.
Courts do not look favorably on stealing customers. They look fondly into having an opportunity to make a living and don’t like non competes but that is not the same as them looking fondly on stealing customers. Furthermore should company sue you even with no claim it can’t rag out for years to the tune of $100k’s.
For the record I’ve been through it all and didn’t even solicit a customer and actively turned them away but lawyers are expensive.
Posted on 1/26/23 at 8:27 am to vuvuzela
What state are you in? Louisiana? Non competes are useless. It’s a right to work state and if challenged that non compete will get shite on.
Posted on 1/26/23 at 8:29 am to Roux22
quote:incorrect
It’s a right to work state and if challenged that non compete will get shite on.
Posted on 1/26/23 at 8:31 am to MsState of mind
quote:
I am going to tell you this from experience. You can have a no compete lifted and you are able to open your own shop.
That is completely dependent on the language of the non-compete and the jurisdiction it is in. Companies used to put together very sloppy non-competes but all of the actions that you talk about have changed a lot of that. As long as the non-compete is not overly broad, they will hold up in Louisiana and Texas, based on the personal experience of my former boss at a past job.
The best solution is to not sign a non-compete if you have that option.
Posted on 1/26/23 at 8:33 am to vuvuzela
Throw it out there in discussions with the client that you may be moving on soon then let them drive the conversation.
My dad had no interest in starting his own business but was getting told by his clients “If you move on, I’d like you to keep handling my account.”
He retired outright instead but he could have had a core group of clients follow him if he did so.
My dad had no interest in starting his own business but was getting told by his clients “If you move on, I’d like you to keep handling my account.”
He retired outright instead but he could have had a core group of clients follow him if he did so.
Posted on 1/26/23 at 8:36 am to vuvuzela
If you're a doctor or other provider it's a simple as getting enrolled in their insurances.
Ochsner has gotten away with their bullshite two-year non-compete agreement for way too long. You basically have to leave the state if you want to quit working for them. Which granted is kind of doing you a favor but they still shouldn't have that power.
Ochsner has gotten away with their bullshite two-year non-compete agreement for way too long. You basically have to leave the state if you want to quit working for them. Which granted is kind of doing you a favor but they still shouldn't have that power.
This post was edited on 1/26/23 at 8:38 am
Posted on 1/26/23 at 8:38 am to mdomingue
quote:if you signed a non compete thst meets the standard in La you will be held to it. The biggest screw up as I recall is La requires a detailed description of geographic area. Many companies with little experience in La don’t meet the standard. I had a buddy that was released from his because of the word counties used versus parish. Obviously a someone was looking to overturn thst, and as I recall there was very little time left
That is completely dependent on the language of the non-compete and the jurisdiction it is in. Companies used to put together very sloppy non-competes but all of the actions that you talk about have changed a lot of that
Posted on 1/26/23 at 8:38 am to SlowFlowPro
This is all correct. There is also a federal law now (Defend Trade Secrets Act) that is fairly recent but has a lot of similarities to state trade secret laws.
To OP, do not solicit customers before you leave, and do NOT take any documents, data, computer drives, midnight downloads, etc., even if it seems innocuous. This will give your former employer a basis to jerk around with you. I have seen many times when they do that by blowing the situation out of proportion and making you spend money on lawyers, computer forensic experts etc...instead of your new business.
To OP, do not solicit customers before you leave, and do NOT take any documents, data, computer drives, midnight downloads, etc., even if it seems innocuous. This will give your former employer a basis to jerk around with you. I have seen many times when they do that by blowing the situation out of proportion and making you spend money on lawyers, computer forensic experts etc...instead of your new business.
This post was edited on 1/26/23 at 8:39 am
Posted on 1/26/23 at 8:42 am to vuvuzela
It would depend on the kind of work you do and if you plan to provide the exact same service as your current employer, or a complimentary service.
If you provide services that occur once a year, I'd approach the most trusted contacts you know at clients whose work has just been completed, and who you think may be paying too much for the service. Don't get greedy. Pick 5 of varying amounts of revenue that total what you'd need to survive during the first year or two as you run through your other contacts and network to grow once you're out. The more you approach while still employed, the more likely it will get out.
If you provide services that occur once a year, I'd approach the most trusted contacts you know at clients whose work has just been completed, and who you think may be paying too much for the service. Don't get greedy. Pick 5 of varying amounts of revenue that total what you'd need to survive during the first year or two as you run through your other contacts and network to grow once you're out. The more you approach while still employed, the more likely it will get out.
Posted on 1/26/23 at 9:04 am to SlowFlowPro
quote:If you start a thread about this and give everyone who posts here truth serum, it may well go thousands of pages.
Louisiana Unfair Trade Practices
O/U 350 pages (at least)
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