How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Employment Law
Satisfied Customers: 111450
Experience:  20+ Years of Employment Law Experience
10285032
Type Your Employment Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

I Joined a company A which is software consulting firm

Customer Question

I Joined a company A which is software consulting firm located at Illinois IL,i signed a non compete agreement with this company.
Curently i am working for the Client D which is not my employer's direct client there are two vendors between my employer and end client
here is the chain
Company A(current employer)---> B(Vendor1)--->C(Vendor2)--->D (end client).
My question is ,
I got a full time offer from Clent D,So can i join to Client D with out any issues?
Her is the Non-Competition rules of my company
7. Non-Competition.
7.1 For a period of two (2) year following the date of termination of this Agreement, for any
reason by either party, EMPLOYEE will not directly or indirectly, or through a
"Competitor" of the EMPLOYER, provide or attempt to provide (or advise others of the
opportunity to provide), and/or sell or market any services to CLIENT of the
EMPLOYER without the specific "Written Consent" of the EMPLOYER (as such terms
within quotations are defined in Section 7.2 below).
7.2 For purposes of this Section 7, the following definitions will control:
7.2.1 a "Competitor" of the EMPLOYER shall include any individual, partnership,
joint venture, association, limited liability company or other entity (hereinafter
collectively referred to as a "Person" or "Persons"), which is at the time engaged wholly
or partly, in the business of computer systems analysis, research, consulting,
documentation, design, programming, contract programming, testing, systems
implementation or computer software consulting.
7.2.2 a "Client" shall mean any entity with which the EMPLOYER is currently doing
business or any entity with which the EMPLOYER has done business in the most recent
past twelve (12) months, to whom the EMPLOYEE has been assigned to in the past, or
about whom the EMPLOYEE has gained knowledge solely through his employment with
EMPLOYER.
7.2.3 "Written Consent" shall mean a signed statement executed by the President of the
EMPLOYER, Manoj X. XXXX, or such other person who may, from time to time, be
acting as President, specifically waiving Section 7.1 above.
Submitted: 1 year ago.
Category: Employment Law
Expert:  Law Educator, Esq. replied 1 year ago.

Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.

Illinois will enforce a non compete agreement that is reasonable in the scope of the employer's legitimate interests that need protecting and is reasonable in time and geographic scope. The agreement above states you will not work for any competitor directly or indirectly.

The issue here is the "indirectly" part of your agreement. Even though there are 2 vendors between your employer A and the new potential employer D, the fact is that A is making money through B and/or C for having you work for D and by you taking a job with D, you are indirectly competing with A, because you leaving means they can no longer farm you out to B or C to do work. As such you are indirectly competing with A through a business relationship you would never have had with D had it not been for you being employed by A.

Thus, your employer is likely going to be able to enforce this agreement with you for indirectly competing with them, since they are losing money by not being able to get money from B or C for you doing work for D.

Also, you are bound to notify D of this non-compete agreement, because A can also sue D for tortious interference with your contract with A by hiring you away from A and causing A to lose income through vendor B and/or C.

So this type of agreement would be likely enforced against you in this situation as you were introduced to D through your employment with A. Had you never been employed by A, you would not have been sent to B or C or D, and it was because of A that you were even at D to begin with.

Related Employment Law Questions