QUESTION
Does a contract that states I cannot work for another firm or independently where there is a 'conflict of interest' violate the CA non compete?
Asked on Sep 22nd, 2015 on Employment Contracts - California
More details to this question:
A tutoring agency handbook says "You may not hold any other employment or engage in any personal business, including as an independent contractor, which would create an actual or a potential conflict of interest with your employment at the Company. If outside work would involve products or clients similar to those of the Company, or involve a person or entity that has a business relationship with the Company, this would create a conflict of interest" Can I contest this saying it violate the California ban on non-competes? As per these rules I cannot work for any other tutoring agency or even tutor independently, which is absurd! Thanks for the help
1 ANSWER
While California has a very strict statute prohibiting restrictions on the competitive activities of FORMER employees, to the best of my knowledge it doesn't stretch to cover CURRENT employees. Frankly, I think it would be ridiculous if the law required an employer to continue to employ someone who was also competing or working for a competitor at the same time, but I am not a California attorney and could be mistaken.
Answered on Sep 22nd, 2015 at 11:23 AM