Legally, how do I get out of this contract clause?

Question by Scott D: Legally, how do I get out of this contract clause?
An outside salesman, I’m leaving a company at which I signed a contract that I will not solicit any business retained by them for a period of a year at the time of the termination of the contract. Problem is: I want to solicit that business. Badly. I brought them the client, served the client–it’s my relationship….what if I form a relationship with someone else (another company) and they do the soliciting? Is that legal? Any ideas?

Best answer:

Answer by Gregg DesElms
Non-compete clauses are legal and binding in most states. However, the courts have held that such clauses must be for a finite (and reasonable) period of time, and may only cover a finite (and reasonable) geographic area. If both of those things is not true about the clause, then it may be void or voidable on its face.

Some states also make non-compete clauses nearly completely unenforceable altogether. It all just depends on the state; and/or the state’s law which you agreed, when you signed, shall govern the terms of the agreement. However, in some states, other state’s laws may not govern the terms of contracts which are both executed and fulfilled in THEIR states. So, that could be another potential loophole… depending on the laws of YOUR state.

However, ONLY A LICENSED ATTORNEY who is a member in good standing of your state’s BAR can and should be advising you on this. Please go find one, and listen ONLY to him/her, and not anyone in a place like THIS!

And do NOT breach the clause until and unless a lawyer tells you that you can.

Hope that helps.

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