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Can my California employer restrict me from employment in a competitive industry or with a supplier supplier if I resign

Asked over 2 years ago - Fresno, CA

Employment

My employer required me to sign a non compet document as a condition of my employment when hired on. I questioned the legality of restricting my future employment with a competitor or supplier in the event I left my employment with them. I believe even though I signed the document they would not be able to hold that part of the document against me as it is illeagle in the state of Califormia. Am I correct? What is the statue or law applicable to this situation?

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Attorney answers (3)

Peter Marc Schaeffer

Reputation Level 12

Answered over 2 years ago. Employment / Labor Attorney in Riverside, CA.

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Generally speaking the courts give great scrutiny to non compete clauses and they will be enforced if reasonable in light of all the circumstances surrounding the agreement made between the parties. The key is Reasonableness. If the clause virtually prohibits a party from finding employment in too broad a geographical area considering the nature of the business it won't be enforcible.

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Arkady Igor Itkin

Reputation Level 12

Answered over 2 years ago. Employment / Labor Attorney in San Francisco, CA.

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Most non-compete agreements, with some narrow exceptions, are invalid and unenforceable in California. However, some people confuse non-competes with confidentiality and non-disclosure agreements and other similar agreements that might be enforceable depending on the language and the circumstances of the employment relationship. It's always a good idea to have your specific agreement reviewed before making any decisions.

San Francisco Employment Lawyer

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Eli Mayer Kantor

Reputation Level 13

Answered over 2 years ago. Employment / Labor Attorney in Beverly Hills, CA.

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In California non-compete agreements are void and unenforceable, unless you are an owner or a partner. However, a trade secrets agreement may prevent you from divulging trade secrets.

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