I found your post a bit confusing--near as I can tell, you have a non-compete clause as part of a contractual agreement you made with an employee. The employee left the company and set up shop somewhere (Texas or Michigan, can't tell for sure) and is using a similar logo and you believe is operating without certification (whether certification is required by law in your state... can't tell from the post).
I think you would benefit from sitting down with an attorney and having that attorney review your NCA--much will turn on the very specific language of that NCA.
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It sounds like you have a pretty good case. However, the non-compete agreement will control. You may be entiled to recover any profits he has made since the non-compete agreement as well as attorneys fees. It is not uncommon to handle these cases on a contingency fee. If you have any additional questions please do not hesitate to ask.
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It's difficult to tell, from the recitation above, if you have an actual contract for sale of the business (which includes the purchase of the rights to the name and/or a non-compete clause), or if you just have a verbal agreement under which the seller simply "told" you to use the name.
I strongly encourage you to consult an experienced business/corporate attorney to go over the underlying transaction and any written contractual agreements. If your business is being harmed by the seller's conduct, getting the right legal advice is worth the money.
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I also would strongly advise you to see a lawyer. While this should have been dealt with in the purchase documents, there are other options available when someone is using a trade name that is similar to yours. If you'd like us to assist you with this matter, please call 972-702-6061, or email me at firstname.lastname@example.org.Ask a similar question