Young Salesperson Non Compete
Ted was an entry level sales person for a regional telecom provider. This was his first job out of college, and he had no prior experience in the industry. After working for the company for a short time, the company changed his compensation plan and cut his commissions.
Because the job had become financially unworkable for him, he applied for other jobs. When he accepted an offer at a nationally known company, his employer sent a cease and desist letter and threatened to sue. Ted had limited customer relationships in his territory. He did not have access to trade secrets or confidential information. The new employer had a much larger footprint, and already had relationships with many of the customers Ted worked with. Nonetheless, the former employer threatened to sue both Ted and his new employer. His new employer did not want to get involved in a lawsuit. They required Ted to get a release from the non compete before he could start working. Ted, just out of college and with little business and career experience, was at a crossroads. He was not able to make a living at the old employer based on the commission cuts, and not able to take the new job because of his former employer's aggressive stance regarding the non compete agreement. |
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Non Compete Solution
Ted contacted us after he received the cease and desist letter. We reviewed his documents and interviewed him. Based on this review, we concluded that enforcement of his non compete would not protect any legitimate business interests of his former employer.
We also concluded that the change in compensation was retroactive, and may have been a violation of the Massachusetts Wage and Hour laws.
We drafted a response to the cease and desist letter and then worked on negotiating a resolution with the employer. After we threatened suit under the wage and hour laws, and demonstrated the problems with enforcing the non compete clause, we reached a resolution. Ted was released from the non compete with minimal restrictions and allowed to continue pursuing his career.
We also concluded that the change in compensation was retroactive, and may have been a violation of the Massachusetts Wage and Hour laws.
We drafted a response to the cease and desist letter and then worked on negotiating a resolution with the employer. After we threatened suit under the wage and hour laws, and demonstrated the problems with enforcing the non compete clause, we reached a resolution. Ted was released from the non compete with minimal restrictions and allowed to continue pursuing his career.
Postscript
Because he acted quickly to secure legal advice and representation, Ted was able to stand up to the former employer's aggression and move on with his career. He was also able to do this without ever filing a lawsuit, or being named in a lawsuit. This was of concern to him at the beginning because he did not want to start his career with a public record of being party to a legal dispute.
If you are in a similar situation, remember that a cease and desist letter does not necessarily mean you can't take that new job. Also remember that early advice from an experienced employment lawyer is key to maximizing your chances of a quick and private resolution.
If you are in a similar situation, remember that a cease and desist letter does not necessarily mean you can't take that new job. Also remember that early advice from an experienced employment lawyer is key to maximizing your chances of a quick and private resolution.
How Our Non Compete Lawyers Can Help
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We have years of experience representing people in non compete lawsuits in Massachusetts state and federal courts, as well as responding to cease and desist letters, and we would be happy to help. You can use the button below to schedule a call back from a member of our team, or give us a call at 781-784-2322.
