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Registered
Join Date: Nov 2003
Location: West of Seattle
Posts: 4,718
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New job: Non-Compete seems VERY restrictive ???
So I remember threads from a while ago discussing overly restrictive non-compete agreements, and I'm checking to make sure the consensus is still the same, and to make sure that I'm reading this right. After reading the "Follow the money" thread, I've gone and found new job -- promotion, pay raise, more responsibility and the promise of growth. I'm pretty excited, but the non-compete's a killer. Check this out:
I agree that for a period of my employment by the Company and for one year after the date my employment by the Company ends for any reason, I will not, either directly or indirectly, provide work for any customers of the Company with whom I worked with or had personal contact directly as a result of my employment with the Company. Customers shall include, but not be limited to, the United States Government.
I'm totally ok with not joining their competitors or starting a competing business. But the USG is the single largest employer (directly or indirectly) in this region. If I agree to this, it seems like I'm cutting myself off from virtually any employment in the DC area for a year after I leave this company. Am I nuts? Is there a simple way to modify the text to make it more reasonable?
The second bit that bugs me is the "Duty of Loyalty" clause. It reads:
I understand that my employment with the Company requires my full attention and effort. I agree that during the period of my employment by the Company I will not, without the Company's express written consent, engage in any employment or business activity other than for the Company, including but not limited to employment or business activity which is competitive with, or would otherwise conflict with, my employment by the Company.
In principle, it's ok. But I do a number of small business things on the side. For example, I do some photography on the side -- I shoot the occasional wedding, do portraits for people, shoot events, and I sell the prints. It isn't a big money maker, but it looks like if I do this, I need to get express written consent for it. Same for, say, building iPhone apps on the side, or any similar minor venture. The simple modification seems to be to change the last line like this:
[i]...engage in any employment or business activity other than for the Company, including and limited to employment or business activity which is competitive with, or would otherwise conflict with, my employment by the Company.
The final thing that just seems odd is that the agreement has a host of items regarding Inventions, patents, and the like. But this is a services/consulting group, not a research group. They don't do any inventing, nobody has any patents, etc.
I'm thinking I'll just raise these concerns directly to my new employer and suggest modifications that make the text more reasonable. Is that a mistake? Is there a better approach?
Thanks,
Dan
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