Company Bought - Does non-compete remain in force ?

Non-Compete ?
I joined a IT Company A in 99. I did not sign a non-compete aggement there. In 2001 Comp A was sold to Comp B. We were made to sign an employee aggrement , but it did not include anything as non-compete.
In 2003 Comp B was merged with Comp C. Now comp C is our new company. Have not signed any docs for this company.

All the time i was working for a Client.
Last week , I have resigned from Comp C and am working for my client through some other Vendor.

Can Comp C sue me on non-compete angle ?

1 answer  |  asked Feb 6, 2003 10:17 PM [EST]  |  applies to Pennsylvania

Unlock Non-Compete Agreements: Keys to Escape

Answers (1)

Christopher Ezold
It is unlikely Company C can successfully sue you.

Mr. Raj:

I cannot fully answer your question without further information, however, based on the information provided in your question, I do not believe you could be successfully sued by Company C to prevent you from working for a competitor.

To prevent you from working for a competitor, Company C would need a non-compete agreement to enforce. As you did not sign any non-compete agreements, there is nothing to enforce.

In general, you have an obligation to avoid revealing what Company C would call "confidential information" to new employers. Depending upon your employment agreement, the work you performed for Company C and the management level you achieved in the company, they may be able to enjoin you from working for a competitor if in doing so, you would have no choice but to reveal such information. However, it is rare that such a claim is successfully made.

If you wish to provide me with further information, feel free to contact me by phone, email or mail.

/Christopher E. Ezold/

Nancy O'Mara Ezold, P.C.
401 City Line Avenue,
Suite 904
Bala Cynwyd, PA 19004
(610) 660-5585

posted by Christopher Ezold  |  Feb 10, 2003 11:03 AM [EST]

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