Have we talked about non-competes

[artradley]

And the FTC’s proposal to ban them? This has been a long time coming. I wonder what % of people actually support non-compete clauses for ordinary salaries employees, stating they can’t continue their ordinary job at a different company. It can’t. E many, right?

FTC Proposes Rule to Ban Noncompete Clauses, Which Hurt Workers and Harm Competition

The Federal Trade Commission

www.ftc.gov

 

[Formerly Rockymtnole]

Should be outlawed for all but the rarest of circumstances.

 

[TheCainer]

And the FTC’s proposal to ban them? This has been a long time coming. I wonder what % of people actually support non-compete clauses for ordinary salaries employees, stating they can’t continue their ordinary job at a different company. It can’t. E many, right?

FTC Proposes Rule to Ban Noncompete Clauses, Which Hurt Workers and Harm Competition

The Federal Trade Commission

www.ftc.gov

Is this another Cubs thread?

 

[ConvenientParking]

The libertarians who argue you should be able to sell yourself into slavery oppose this.

 

[Aardvark86]

And the FTC’s proposal to ban them? This has been a long time coming. I wonder what % of people actually support non-compete clauses for ordinary salaries employees, stating they can’t continue their ordinary job at a different company. It can’t. E many, right?

FTC Proposes Rule to Ban Noncompete Clauses, Which Hurt Workers and Harm Competition

The Federal Trade Commission

www.ftc.gov

nobody really does them for ordinary employees.

Prediction: US Chamber goes to war on this one.

 

[artradley]

nobody really does them for ordinary employees.

Prediction: US Chamber goes to war on this one.

Well that’s false. My wife and I have both had to sign them for ordinary jobs. Non-competes are common as hell outside of the states where they have already been banned.

The FTC says one in five employees is bound by a non-compete.

 

[ConvenientParking]

nobody really does them for ordinary employees.

Prediction: US Chamber goes to war on this one.

A lot of fast food chains have employees sign them where it's legal. Idk how enforceable or practical it is

 

[WadeLookingbill]

Should be outlawed for all but the rarest of circumstances.

Agreed, should be restricted to business owners who sell the biz, and key employees with truly confidential info/trade secrets.

 

[hawkdave007]

My niece, who's in high school, works as a lifeguard and swim instructor for little kids at a local pool and they made her sign one.

They are getting to be out of control.

 

[WadeLookingbill]

A lot of fast food chains have employees sign them where it's legal. Idk how enforceable or practical it is

My niece, who's in high school, works as a lifeguard and swim instructor for little kids at a local pool and they made her sign one.

They are getting to be out of control.

In my state, these are completely unenforceable. In most states, non-competes are disfavored as a matter of law. When allowed in rare circumstances, they need to be limited in scope and duration. You've got to be out of your damn mind to try and enforce a non-compete on a lifeguard or fast food employee.

 

[ConvenientParking]

In my state, these are completely unenforceable. In most states, non-competes are disfavored as a matter of law. When allowed in rare circumstances, they need to be limited in scope and duration. You've got to be out of your damn mind to try and enforce a non-compete on a lifeguard or fast food employee.

Definitely can't imagine those employers trying to enforce them but they may discourage some employees from seeking better opportunities which I think is the actual purpose in these situations.

 

[bhawk24bob]

In my state, these are completely unenforceable. In most states, non-competes are disfavored as a matter of law. When allowed in rare circumstances, they need to be limited in scope and duration. You've got to be out of your damn mind to try and enforce a non-compete on a lifeguard or fast food employee.

It’s the threat and the unsophisticated party carries the weight of that threat.

 

[Herkster5]

Our employees sign a non-compete and non-solicitation upon being hired. It is for a reasonable length of time, and a reasonable radius. We had an ex-employee try to fight it after she was let go, couple letters between attorney's, and it wasn't pushed any further.

There is always arguements that they won't hold up in court, and I'm sure there are plenty of examples of that. We'll still have our employees sign them, up until they get banned, of course.

 

[DropitlikeitsHawk]

Happens in the insurance industry all the time.

 

[SL Hawk Fan]

Agreed, should be restricted to business owners who sell the biz, and key employees with truly confidential info/trade secrets.

I'm in a similar camp.
CNC to protect a company’s customers or trade secrets - Good
CNC to just lock in any employee / keep them from even considering leaving - Bad

 

[Derekd3408]

Well that’s false. My wife and I have both had to sign them for ordinary jobs. Non-competes are common as hell outside of the states where they have already been banned.

The FTC says one in five employees is bound by a non-compete.

My last company has us sign non-competes and people left for competing companies all the time. They didn't do anything unless you started to really hinder business.

 

[artradley]

In my state, these are completely unenforceable. In most states, non-competes are disfavored as a matter of law. When allowed in rare circumstances, they need to be limited in scope and duration. You've got to be out of your damn mind to try and enforce a non-compete on a lifeguard or fast food employee.

Only five states limit them.

 

[WadeLookingbill]

Only five states limit them.

I don't believe that's accurate.

 

[The Tradition]

Yeah, we don't do non-competes, but our sr. managers have to sign confidentiality, trade secrets and non-solicitation (don't take our employees or customers with you) agreements.

 

[Formerly Rockymtnole]

Only five states limit them.

That sounds a low. Pretty sure most states have some kind of law on the books outlining the acceptable parameters.

I think they’re pretty routine in a lot of industries, if only for the deterrent effect. You have to have a slam dunk case to try to enforce one, and even then a jury is likely to think they’re BS.

 

[Formerly Rockymtnole]

Yeah, we don't do non-competes, but our sr. managers have to sign confidentiality, trade secrets and non-solicitation (don't take our employees or customers with you) agreements.

An agreement not to solicit former customers is just a non-compete by another name. And probably treated the same.

Who are your customers, the residents? That is crazy employees would try to get them to move!

 

[Aardvark86]

A lot of fast food chains have employees sign them where it's legal. Idk how enforceable or practical it is

That’s just moronic though i suppose the theory is that these are franchises

 

[The Tradition]

An agreement not to solicit former customers is just a non-compete by another name. And probably treated the same.

Who are your customers, the residents? That is crazy employees would try to get them to move!

It's all about filling beds...

 

[Formerly Rockymtnole]

It's all about filling beds...

But how does that work? “Pssst…I’m moving over to Shady Palms. You should come with me. The green jello is awesome over there!”

 

[The Tradition]

But how does that work? “Pssst…I’m moving over to Shady Palms. You should come with me. The green jello is awesome over there!”

More or less.

Again, this is only for Administrators and Directors of Nursing (the two most-senior jobs in a facility), plus anyone at the Director level or above in the Corporate Office.

 

[HawkeyeShawn]

nobody really does them for ordinary employees.

Prediction: US Chamber goes to war on this one.

I have a non-compete. I’m quite ordinary. If I left my company and went to a competitor, I would like to think a few of my clients would follow. My current company would sue me and I’d have to pay thousands to lawyers to fight them, making it not worth chasing those clients. So yeah, if we could get rid of non competes, I’d be in favor. Maybe our company would treat us better knowing the damage we could do if we didn’t have to wait a year.

 

[bhawk24bob]

That sounds a low. Pretty sure most states have some kind of law on the books outlining the acceptable parameters.

I think they’re pretty routine in a lot of industries, if only for the deterrent effect. You have to have a slam dunk case to try to enforce one, and even then a jury is likely to think they’re BS.

This isn't about winning at trial, it's about a former employer not being able to get injunctive relief pending trial. That waiting period is enough for most new employers to rescind and move on

 

[Formerly Rockymtnole]

This isn't about winning at trial, it's about a former employer not being able to get injunctive relief pending trial. That waiting period is enough for most new employers to rescind and move on

True, that’s even more difficult. I’m thinking of suing for damages breach of the noncompete. Regardless, either approach is tough these days.

Always thought that’s BS for a new employer to rescind an offer if the former employer challenges. It’s a shit company that does that.

 

[bhawk24bob]

True, that’s even more difficult. I’m thinking of suing for damages breach of the noncompete. Regardless, either approach is tough these days.

Always thought that’s BS for a new employer to rescind an offer if the former employer challenges. It’s a shit company that does that.

Eh it's not an easy call, that's why it goes to court. The verbiage on an application is usually something to the effect of are you party to an agreement or non-compete that will prohibit or impede your ability to work at _______ company

You might have one but don't think it will for whatever reason, so you say no.......while your former employer thinks otherwise and files for an injunction. The new employer thinks that they can't trust you, blah blah blah

I don't blame any of the parties there for acting in their best interest.

 

[Jimmy McGill]

It is pretty easy to get a Non-Compete clause thrown out if it is overly broad.

Myself, I would never advise a client to sign one.

 

[Gus is dead]

The are incredibly common in healthcare. Particularly so on the physician side. I don't believe an employers should be able to limit your ability to sell your services to anyone you want. Sure, restrict solicitation of your former patient population but you should be able to go work for whomever you like.

 

[The Tradition]

The are incredibly common in healthcare. Particularly so on the physician side. I don't believe an employers should be able to limit your ability to sell your services to anyone you want. Sure, restrict solicitation of your former patient population but you should be able to go work for whomever you like.

I think instead of making it unlawful, there should be some extra compensation required beyond simply having your job.

That's called "consideration" and it means you can't have a contract unless each party gains something. A contract that says you get to keep what you already have is invalid on its face.

So, you get an annual bonus that the people who refused to sign the agreement do not get, or something like that.

If THAT's the deal, it should be legal to enter into such a contract.

 

[Gus is dead]

The problem is that the consideration they often say they offer is the job itself. As in sign it or don’t work. And if they all do it…..which is pretty much the case you can’t simply say I’ll take my business elsewhere after the offer. You take the job that’s the best for you in every other way and then hope you don’t have to deal with the non compete.

The non competes are usually local so if you want to change jobs you often are forced to move to escape it. Which is what they want so you don’t ‘steal’ your patients.

 

[TJ8869]

The FTC has now banned them.

Link

 

[GOHOX69]

People ask me to sign non-competes on a daily basis. They are also aware that I leverage my current job versus others who want similar products are willing to pay me more. This creates endless heartburn, which I leverage, to give my team higher salaries. This ruling is not going to sit well with my current investors. Haha, sucks dickheads. Now I can legally arbitrage my worth.

 

[ericram]

The FTC has now banned them.

Link

YES! Bitches...

 

[ping72]

Good news. The vast majority of them were not actually legally binding. They were just an attempt at trying to prevent employees from leaving.

 

[GOHOX69]

Good news. The vast majority of them were not actually legally binding. They were just an attempt at trying to prevent employees from leaving.

You are correct sir. I'm 3 for 3 suing on non competes. All 3 have been university based

 

[Formerly Rockymtnole]

I like it.

 

[ping72]

You are correct sir. I'm 3 for 3 suing on non competes. All 3 have been university based

I saw somewhere, probably in the anti-work sub Reddit, that companies win a very small percentage of lawsuits over non-competes.

Some of them are just absurd. Like if you leave, you basically have to find a completely new line of work.