QUESTION

Non Compete agreement

Asked on Dec 09th, 2012 on Business Law - Arizona
More details to this question:
My company recently terminated our employment relationship. I received a letter from legal. Saying I could not recruit employees of former company. While employeed my job was to recruit independent agents to sell our products. These agents remained independent. They are not considered employees. I am going to work for another company in the same capacity. I want to call on the same agents. Offer them a contract to sell new company products. Would this be a violation of non compete?
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1 ANSWER

Litigation Attorney serving Greenwich, CT
Partner at Hilary B. Miller
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You will need to scrutinize the agreement extremely carefully. If the people whom you are recruiting are not "employees" and there is no other non-recruitment provision, then you will have a pretty good argument that recruiting non-employee contractors is permitted. Generally speaking, these kinds of agreements are narrowly construed in order to minimize the restraint on the former employee (you). Moreover, since the agreement was drafted by your employer, any ambiguity in it would likely be construed against your employer. However, there is no substitute for having the agreement reviewed by an attorney. You should do that. And you should be prepared for a fight, even if you are "right."
Answered on Dec 09th, 2012 at 3:11 PM

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