Non compete and High Margins

Asked almost 2 years ago - Piscataway, NJ

I used to do contract work for a company in NY thru an agency. I quit that job for a better paid contract in NJ. Now, I am unemployed from the past 2 months and my boss from my first company called me up and offered me another contract. Since I had a non-compete, I decided to go with my previous agency. But to my shock, they are asking for a $40 an hour margin and asking for me to sign a fresh non-complete contract for two years.

I tried negotiating but it is NOT working, any advise how I should handle this? I cannot contract directly to the end client and hence need to go thru an agency but this margin is just crazy.

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    Lawyer agrees

    Answered . I am an attorney licensed in the Commonwealth of Pennsylvania, and the States of Delaware and New Jersey. My practice includes employment, business and health care law. Before I respond to your inquiry, I must state that we have not spoken, I have not reviewed the relevant documents and facts, and I do not represent you. Therefore, my discussion below is not a legal opinion, but is informational only. Finally, my discussion applies only to issues to which Pennsylvania, Delaware, New Jersey or Federal law applies.

    That being said, you have your answer - it would be crazy to sign such a contract. Say no and walk away. Tell the end client (if not prohibited from doing so by contract) why you can't work with them. It might shake loose some concessions.

    /Christopher E. Ezold/

    The Ezold Law Firm, P.C.
    Employment, Business and Health Law
    One Belmont Avenue, Suite 501
    Bala Cynwyd, PA 19004
    (610) 660-5585

    I am an attorney licensed in the Commonwealth of Pennsylvania, and the States of Delaware and New Jersey. My... more

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