Is restricted convenant clause, possible if you never signed a employment contract?
My previous employer is invoking a "restricted Convenant" clause. But i never signed a employment contract, with the employer. State is NJ, is this legal and enforcable, with out a signed employment agreement
Comments
Speak with your human resource office and see if this is a valid claim.
My understanding is that it is possible, but difficult to do without a signed agreement. There are different types of restrictive covenants in the form of a non-compete clause or preventing you from soliciting clients of the companies that you wouldn't have known about if you hadn't worked there.
Without an employment contract, it makes it tough, but if they can prove to the court that they only want to protect their "legitimate business interests" and that it only extends to those interests they have a legitimate claim.
You will be given a new contract to sign. If you fail to do so then after 3 months you will be deemed to be working under the new contract. If you do not like what they are doing then go along with it while you find another job. An employer can do almost what he likes as he is the one paying for your services.
It is not enforceable.
Even if you signed something, if were not a key employee or corporate officer, making a non-compete clause stick is going to be very difficult.