Is it illegal to breach a non compete clause in California for a manufacturing company, telemarketing from business to business.
3 Answers from Attorneys
It is not illegal as in violation of criminal law. I am not an expert in California non compete clauses but most are unenforceable. If if it is it is a contract breach and damages are mst likely monetary...
Assuming we are not talking about something to do with the government if the contract is enforceable and you are the company owner you may be able to sue in civil court for monetary damages and or injunctive relief, hard to say without seeing the contract.
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Clauses containing covenants not to compete are generally unenforceable in California as a matter of public policy. That's because they prohibit competition, which drives our economy and society, and interfere with people's ability to work.
As I mentioned, they are generally unenforceable, but there are some exceptions. " Except as provided in this chapter, every contract by which anyone is restrained from engaging in a lawful profession, trade, or business of any kind is to that extent void." (Bus. & Prof. Code, sect. 16600.)
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