RE: How common are NCA's?

From: Simon Plant (si.plantat_private)
Date: Mon Aug 06 2001 - 01:29:45 PDT

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    Realistically, these guys are not saying don't work for anyone in the
    industry again, just not for one of our clients (directly or through another
    PS firm) for 12 months. It could be worse.
    
    It very much depends where you are, in Europe they're less enforceable as
    it's a restriction of trade against you and deemed anti-competitive, with
    most follow-up action being threatening letters and very rarely goes to
    court.
    
    I personally don't sign these. But then I'm a short-term consultant, not a
    contractor or permanent guy. Depends upon how much you need the job and how
    wide a scope of clients the company has - do they cover most of the
    companies in your catchment market? If so, you may find it difficult not to
    break this when you move. You have to protect your right to earn a living.
    
    I would push back against this and ask the HR department whether rejection
    will mean not getting the job? You have a trade, and all I.T pro's work on
    the cross pollination & evolution theory: we move from client to client
    sharing knowledge and experience, enriching where we go. No one company owns
    us or should have the right to dictate which opportunities we can take.
    
    Simon
    
    Simon Plant, CISSP.
    
    
    -----Original Message-----
    From: John Starta [mailto:johnat_private]
    Sent: Saturday, August 04, 2001 6:58 PM
    To: securityjobsat_private
    Subject: How common are NCA's?
    
    
    I have been offered a position with a professional service company that is
    asking that I sign a non-compete agreement. Having spent the majority of my
    career in large enterprise environments non-compete agreements are new to
    me. This particular agreement seems particularly restrictive ... to the
    point that I wonder whether I could legally find employment should we ever
    part ways. I have included a couple excerpts below for reference. Is this a
    common place in the professional services arena?
    
    jas
    
    >1. For a period of one (1) year commencing with the termination, for
    >whatever reason, of my employment with the Company, Employee will not
    >solicit, assist in the solicitation or accept professional services
    >similar to those provided by the Company from a business entity for whom
    >either the Company or Employee has performed services within the last year
    >of Employee's employment with the Company.  If, within one year commencing
    >with the termination of Employee's employment of the company, Employee
    >does solicit, assist in the solicitation or accept professional services
    >similar to those provided by the Company with a business entity with whom
    >either the Company or the Employee has performed professional services
    >within the last year, employee agrees to compensate the Company, 50% of
    >the revenue generated from that business entity for a period of one year,
    >based on customer invoices.   Payment of this amount will be due to the
    >Company on a monthly basis 30 days after Consulting services are rendered.
    >
    >2.  Further, Employee agrees that during the period of Employee's
    >employment and for one (1) year after termination of employment, for
    >whatever reason, Employee will not solicit and/or assist in the
    >solicitation of any employees of the Company to leave the Company's
    >employ.    If Employee does solicit employees of the Company during
    >Employee's period of employment or one year thereafter, Employee agrees to
    >compensate the Company $50,000 to help offset costs to replace
    >employee.  Payment in full is due within three months of hiring solicited
    >employee.
    



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