Re: non-compete--where've I been?

[Virginia Day <Virginia_Day -at- DATACARD -dot- COM>]

     I think it's confusing too, and I've contracted (until recently) my
     whole career.

     Work-for-hire and confidentiality agreements say that the paying
     company (or their client) owns the work for which they pay you, and
     that you won't divulge confidential information--to a competitor or
     another contract house. I believe strongly in these agreements.

     I've happily signed non-compete agreements saying I won't contract
     directly to a company for whom I work through an agency or contract
     house.  If the agency goes to the trouble of establishing and
     nurturing the relationship, they deserve some protection. These
     agreements should expire when the contract is complete. (Let's not
     talk about the size of their cut just now.) I've managed contractors'
     work for contract houses, and always felt comfortable explaining these
     agreements when signing up contractors.

     Non-compete agreements might also specify that you will not do
     substantially similar work for the same customer through another
     agency--again, a reasonable restriction, IMHO, as long as the time
     period is limited (3 months?).

     However, there is one agency in my area for whom I and many others
     will not work.  They want contractors to sign agreements saying that
     they will not work, under any circumstances, for the agency's clients
     within 12-18 months of termination of work through the agency.  That
     means that if I work on a project for BigBank for 3 months, and the
     agency also has a project with Software Magic (invented names), I
     would not be able to respond to Software Magic's employment ads or
     take a contract job with Software Magic (or BigBank) through another
     agency until the 18 months have expired.  They also make contractors
     wait until the client has paid before paying the contractor.  Yes,
     people actually work for them.


     Regards, Virginia
     My opinions, not my employer's.


______________________________ Reply Separator _________________________________
Subject: non-compete--where've I been?
Author:  Hillary Jones <hillary -at- NICHIMEN -dot- COM> at Internet
Date:    7/16/97 12:01 PM


I was following the non-compete discussion, but I'm starting to be
confused. At first I understood that the non-compete clause was from a
company that's hired you and doesn't want you to quit and go to work for
a direct competitor and tell all the secrets you learned.

Then I started to think that the non-compete clause was from a
contracting company, who doesn't want you to quit and go to work for
their clients, thus cutting the contracting company out of the payment
loop. (This is the one I've experienced.)

Now a couple of people posted and led me to believe that a contracting
company can ask you to sign a non-compete clause that would prevent you
from going to work for another contracting company.

Am I confused or are all three scenarios possible?

--
******************************
Hillary Jones
hillary -at- nichimen -dot- com

http://www.geocities.com/TimesSquare/6589
******************************

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