I have worked at a Foodservice company that was recently experienced a hostile takeover. The company name has officially changed, the business philosphy and my income has suffered. Is my non compete still valid with the new ownership?
I signed a non compete agreement in 2006 for employment for foodservice sales. The company went into bankrupcty and a hostile take over insued. The company name, logo and business philosphy shifted. Is my non compete still valid even though the company changed hands? I did not sign a new non compete.
1 answer | asked Aug 6, 2009 4:27 PM [EST] | applies to Pennsylvania
Answers (1)
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 or Federal law apply, unless otherwise specified.
That being said, noncompetition agreements are generally not transferable from one employer to another UNLESS there is a valid assignment clause. Even if there is such a clause, the facts of the change in ownership/business structure may be sufficient to render the noncompetition agreement invalid.
There are too many facts missing from this question for me to provide a better response; you can repost with more information about your position, responsibilities, the nature of the change in the business, etc., or, if you would like to discuss this matter further, please feel free to contact me at the below address(es) or number.
/Christopher E. Ezold/
Nancy O'Mara Ezold, P.C.
One Belmont Avenue,
Suite 501
Bala Cynwyd, PA 19004
(610) 660-5585
Cezold@Ezoldlaw.com
www.ezoldlaw.com
posted by Christopher Ezold | Aug 7, 2009 07:38 AM [EST]
That being said, noncompetition agreements are generally not transferable from one employer to another UNLESS there is a valid assignment clause. Even if there is such a clause, the facts of the change in ownership/business structure may be sufficient to render the noncompetition agreement invalid.
There are too many facts missing from this question for me to provide a better response; you can repost with more information about your position, responsibilities, the nature of the change in the business, etc., or, if you would like to discuss this matter further, please feel free to contact me at the below address(es) or number.
/Christopher E. Ezold/
Nancy O'Mara Ezold, P.C.
One Belmont Avenue,
Suite 501
Bala Cynwyd, PA 19004
(610) 660-5585
Cezold@Ezoldlaw.com
www.ezoldlaw.com
posted by Christopher Ezold | Aug 7, 2009 07:38 AM [EST]
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