Starting a businessI'm starting my own company and am currently working for a company in the same industry I will be starting my business. I am 100% commission sales person. I am an employee, not a contract worker, that receives a W-2, contributes to 401K, health benefits, etc. I did not sign any non-compete contract or any contract at all of the sort. Can I ethically & legally start a business while still working for this other company without my employer coming after me for anything? Attorney answers (1)
There are several sources of potential liability. I have outlined some issues you might want to consider. This information is not intended to substitute for professional legal advice and does not create an attorney-client relationship. You should accept legal advice only from a licensed legal professional with whom you have an attorney-client relationship. IIn my opinion, you should consult an attorney. If you cannot afford an attorney, you may be able to find an attorney who give you a reduced fee initial consult using the Wisconsin Bar Lawyer Referral and Information Service at www.legalexplorer.com/lawyer/lawyer.asp
Legally: 1. Your employment relationship is a contract. The terms are that you will be paid for sale until you terminate your employment (or your employer terminates you). 2. Even if you have not non-compete, you may not use your current employers confidential information, patented intellectual property or trade-secrets of your employer to start your own business. 3. It is possible to have a non-competing business in the same industry. If you are a tree salesman for a commercial nursery, you probably do hot have a conflict selling hydroponic vegetable equipment and supplies. Since you are asking, I presume you will be competing with your present employer. You probably have a duty of loyalty to the employer which may be breached by a competitive activity. Ethically: If you are asking, you are feeling some level of duty not to compete on your employer's time. If your employer knew you were not using your "full-time effort" at sales, you might be terminated. This might be true if you are spending your days on the beach, on safari or in competition. Of course, biting the hand that feeds you is rarely an ethical decision. Since every industry is a "small world," it might also be damaging to your career and your business plans. 1 person marked this answer as good
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