Is the non-compete agreement still valid after the sale of the company?
As part of being employed by the company I currently work for I had to sign a non-compete agreement on my first day, which included a miles restriction and a 1 year term. If I did not sign the agreement I would not be able to work there. My position is Sales Mgr. The company is being sold to a "private investment firm". Will I be bound by the original agreement with the new owners?2 answers | asked May 23, 2012 7:02 PM [EST] | applies to Pennsylvania
1525 Locust St., 14th floor
Philadelphia Pa. 19102
posted by Doris Dabrowski | May 24, 2012 4:29 PM [EST]
That being said, if the noncompete is valid, AND if the company is being sold and not just the assets, then yes, you would be bound after the sale. However, if the assets are being sold and the noncompete does not have an assignment clause, it won't be enforceable by the new operators of the business.
Furthermore, noncompetition agreements are not always valid; there are many technical requirements that they must meet; yours may not be valid. You should have this reviewed by an attorney.
If you would like to discuss this matter further, please feel free to contact me at the below address(es) or telephone number.
/Christopher E. Ezold/
The Ezold Law Firm, P.C.
One Belmont Avenue,
Bala Cynwyd, PA 19004
posted by Christopher Ezold | May 23, 2012 7:32 PM [EST]
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