URGENTCan my previous niche job keep me from working in the same niche??

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URGENTCan my previous niche job keep me from working in the same niche??

my husband only has until Monday to accept
severance or not.
But we just have one question
My husband worked for a specific credit repair
software company. Was fired yesterday if you saw
that post.

On his severance letter it says that if he accepts the
severance, he can not work for ANY type of credit
repair business.
Whether its a software or doing credit repair himself.

This does Not sound legal to me.

I can understand if it was like a franchisee or
something. But its not.

Im thinking this is because they KNOW the value
and knowledge my husband brought to the business.

We only have until Monday to accept severance or
not. But my husband would love to work in the same
TYPE of field.
Because thats what he knows and loved to do.

Were in the biggest pickle ever yall

Asked on September 28, 2019 under Employment Labor Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 2 years ago | Contributor

If you accept severance, you can be held to noncompete terms which were made a condition of receiving the severance (remember: there is no right to severance, so since it is voluntary for it to be offered to you, the employer can put contractual conditions, like a non-compete, on the acceptance of it). While what you describe seems like it may be too broad, and so a court might limit its scope if the matter was litigated (e.g. they sued to enforce it), such as by limiting it to credit repair businesses that are more direct competitors of this employer, fundamentally, what you describe is enforceable. If your husband has valuable experience, knowledge, etc. and things he could get a job in a reasonable time, or start or his own credit repair business, he is may be better off not taking the severance, since the value of the severance may well be less than what he'd lose by the employment restrictions.


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