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Delta-Lawyer, Lawyer
Category: Employment Law
Satisfied Customers: 3546
Experience:  In-House Counsel & Litigator
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RE: Non-Compete I was off last week without cause. Thirty

Customer Question

RE: Non-Compete
I was laid off last week without cause. Thirty some other employees were laid off the same day. I live and work in South Carolina. My employer is based in Florida. I signed a non-compete about nine months after taking the position without any compensation. My position involves speaking with insurance agents as a marketing representative. The agents can send their clients applications to a number of companies and seek the best terms. My job did not involve developing the terms, just obtaining a flow of submissions. The non-compete does not mention a territory but states anywhere the employer does business with any types of business they are in. When I started all we did was workers compensation, since then they are now selling other coverages as well. Is the non-compete valid? If I do the same job with another insurance company, it does not preclude agents from continuing to send applications to my former employer.
Submitted: 1 year ago.
Category: Employment Law
Expert:  Delta-Lawyer replied 1 year ago.

In short, no, the non-compete is not (or should not be) valid for two reasons: (1) They did not provide consideration to you at the time you signed the non-compete; and (2) it is not limited in geographic scope (in this instance, it is far too broad).

As such, based on what you have shared with me, you can take your skill set and work with another similarly situated company. However, I would caution against direct competition, if that is possible. Even frivolous law suits are expensive to defend. Moreover, don't get into a situation in which you are using knowledge or client lists from your previous employer (they can sue for tortuous interference with business, etc.).

Otherwise, you are good to go here.

By the way, I am a licensed attorney with over a decade of practice experience in the employment law area.

Let me know if you have other questions and please also rate my answer positively (THREE or MORE STARS).


Expert:  Delta-Lawyer replied 1 year ago.

Just checking to see if you have any additional questions. I want to make sure you are as comfortable as possible as you move forward. Thanks!