Legal Question in Business Law in California

Last year I got laid off from my previous company (let's call it company A). Another company (company B) was interested in the project and the people (including me) who had been working on that project. Company B made a deal with company A and acquired the project database. Then company B approached each laid-off employee individually, including me, and we went through an interview and the rest of the hiring process. I found out that my previous company, company A, has shared my whole package: salary and bonus included, with my new company, company B. Company B took the advantage of the information and lowered our base salary. So, I have to work my way up to the ladder again. It cost my tons of money and has destroyed my years of career experience and has cost me hardship. My question is that whether both companies have done anything illegal.

Thank you in advance,


Asked on 5/27/10, 11:38 am

1 Answer from Attorneys

Kevin B. Murphy Franchise Foundations, APC

An attorney will tell you the good news is you still have a job in these precarious economic times. As to whether the companies did anything illegal, that's hard to say. You need to look at your employment contract (with company A) to see what it says about keeping your information confidential. Absent that, there's probably not a lot you can do. But you should consult with a labor law attorney in your area to get their specific advice.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

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Answered on 5/28/10, 8:42 am


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