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Old 12-01-2007, 07:17 PM
lynn11
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Default Boss changing employee status to independent contractor

Question - we work as event planners. My boss wants to change our status from "employee" to "independent contractor". We are being asked to sign an independent contractor agreement or leave the job. The question is, in this contract, we are obligated for a year after terminating the agreement to not solicit any business directly or indirectly from any customer, client, prospect or employee. Since when we do leave we would all find jobs in the same industry in the same small town, or start our own businesses, how would this clause effect us? Thank you.
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Old 12-04-2007, 07:56 AM
moderator moderator is offline
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Hi. Noncompetition agreements are intended to prevent former employees, consultants, etc. from utilizing confidential information gained during the employment relationship to compete (unfairly) with the former employer. They can't restrict your ability to make a living and therefore are usually interpreted to be reasonable in terms of geographic location and duration. There are various legal requirements for these types of provisions to be valid and enforceable depending on the particulars of the employment relationship, state law, and other facts. You could do your own additional research on noncompetition agreements for more information if you like. YOu can find more information in LawInfo's resource center at: http://resources.lawinfo.com/index.c...0audio&cat=115.

You can certainly try to speak to an attorney regarding your legal options and to review the agreement before you sign it. It sounds like the alternative is to leave the position. You can find more information about an attorney through the locator service on LawInfo's home page at: http://www.lawinfo.com/.
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