When is a non-compete agreement breached?
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When is a non-compete agreement breached?
I am working with a IT company in US and am working for one of its clients. I had signed a non-compete agreement with this IT company that I will not join the client or any other competitor at client site for 1 year after leaving the company. I had signed the agreement in the US. Now I have got an opportunity in for the company’s Australian affiliate through another IT company. If I join that company in Australia, will there be a breach of non compete agreement?
Asked on April 7, 2016 under Employment Labor Law, Washington
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
It could be a breach, depending on the *exact* wording of the non-competition agreement (contracts, including non-competition agreements, are enforceable according to their language, so the precise terms are critical), the nature of the market (e.g. despite one company being U.S. and another Australian, do they compete?) and the nature of your position. For a definitive answer, bring a copy of the agrement to an employment law attorney who can review it and the situation in detail with you--that's the only way to get a reliable answer in this case.
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