Non-compete section of contract in California between dealer and wireless service provider
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Non-compete section of contract in California between dealer and wireless service provider
I recently terminated my agreement with a well known wireless company. I was not
in a direct agreement with them, but had an agreement with a master distributor
who has a direct agreement with them. I terminated my agreement and a week later
switched to another brand at my location. They are attempting to sue me for
violating my non-compete clause which states I’m unable to operate a competing
business within 6 months of terminating my agreement with them. However, I was
never presented the agreement which states this and only signed a page and a half
agreement between the third party master distributor and myself. My question is,
in California will they even recognize such a clause in a contract, and also is
the contract to be upheld even if I was never presented it, nor signed it?
Asked on December 20, 2016 under Business Law, California
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 7 years ago | Contributor
1) Yes, agreements like this are enforced in your state, since this is not the employer/employee context.
2) However, if you only signed an agreement with the master distributor, you are only held to the terms of *that* agreement--you are not held to the terms of their agreement with the wireless company or to any contract to which you did not agree and were not a party.
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