Legal Question in Employment Law in Hawaii

Non-compete clause

The company that I work for recently lost their contract with a large military healthcare facility. They are no longer doing any business with this facility. This company had no other positions to offer me within this state. They may have had others nationwide but that would have meant relocating myself and my family, including selling our home. My contract contained a non-compete/buyout clause that was clear about ''jumping ship'' to another facility position while the company was doing business with the facility. The contract also indicated a one-year wait period for getting a job with the facility should I terminate with them or be terminated. The contract did not spell out terms if the company lost its contract.

The company that won the contract is offering to hire me into the same position. They are aware of my concerns about the non-compete clause. The new company won the contract for the next four years.

Is a non-compete clause binding if the original company has lost their contract? I do not understand how I would be infringing upon the old company's ability to do business if they are simply unable re-bid for contracts with the facility for the next four years.


Asked on 5/29/04, 4:39 pm

1 Answer from Attorneys

Jon Zahaby Tour bus, scenic and sightseeing, operation

Re: Non-compete clause

Hello, I believe there is definitely a way around the Non-Compete clause. However, I can't give a definitive answer without actually reading the contract. Feel free to contact me at 808-561-3521 and we discuss it further. Aloha, Jon A. Zahaby

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Answered on 5/29/04, 8:33 pm


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