Legal Question in Business Law in Texas

Non-Compete Enforceability

I signed a non-compete with COMPANY-A in 2002. It merged with it's sister company, COMPANY-B, in 2003. Yet another company, COMPANY-C, was created by the same ownership team in 2006. I went to COMPANY-C with a few others, other's stayed at COMPANY-B. They gave me a new employee contract, new title and comp, and asked me to sign a new non-compete. I didn't, it was too restrictive. They came back with another contract many months later, but I did not sign that one either. Recently, COMPANY-C bought COMPANY-B and the companies have merged together.

I have now left COMPANY-C and they are saying I still need to observe the non-compete I signed with COMPANY-A back in 2002.

Company is in Texas, but I live in MN.

Am I still bound by COMPANY-A's non-compete?


Asked on 2/22/08, 4:15 pm

3 Answers from Attorneys
David Anderson Anderson Business Law LLC

Re: Non-Compete Enforceability

I would be happy to review the agreement and consult with you (NC) concerning this. I am in Eden Prairie/Wayzata.

I work almost exclusively in the business law arena and have litigated Non-compete issues on a number of cases over the last 20 years.

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Answered on 2/22/08, 4:27 pm
James Grissom Law Office of James P. Grissom

Re: Non-Compete Enforceability

BS. Texas non-compete is not likely to be effective in MN. Would be very unusual.

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Answered on 2/22/08, 4:31 pm
Maury Beaulier612.240.8005 Minnesota Lawyers

Re: Non-Compete Enforceability

A covenant not to compete can be determined valid and enforceable if there was psoper consideration for the contract and the agreement was reasonable with respect to its geographic limitations and its duration.

To determine whether or not the proper elements exist to enforce a contract, the contract must be viewed in light of the type of employment.

For a consultation call 612.240.8005or visit minnesotalawyers.com.

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Answered on 2/24/08, 10:48 am


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