Q: Can I work for a competing company if I signed a Non-Compete for an LLC that I am not employed under within my company?
I work for [Company] Investment Fund III, LLC (Michigan). When I was on boarded for my job, I signed a NDA/Non-Compete agreement that applies to a different [Company] Investment Fund, I LLC (Pennsylvania) but under the same parent company. It states that I cannot work for a competitor in the state of Pennsylvania under that specific LLC, however I work under a different [Company] LLC that applies to Michigan. The agreement outlines that the "territory" that I cannot go work for a competitor is within PA. The title of the agreement itself is also specifically "NDA-Pennsylvania" and gives names of some of the specific companies I cannot go work for - all in Pennsylvania. If I leave my company and go to work for another competing company in Michigan, will I be in breach of this contract? I have not been able to locate any sort of NDA/Non-Compete agreement that applies to the specific Michigan LLC that I am employed under. I am happy to provide the actual document, as well. Thank you.
A: Best advice would be to run the documents you have by a local employment attorney. But courts often don't favor non-compete clauses, especially when you are not actively taking business or clients away. And I think a lot is to be said that if a dispute arose, the court may be inclined to apply the plain wording of the documents, which by your account is specific to Pennsylvania companies.
A:
Brent is correct that you should contact an employment attorney.
Noncompetes are enforceable against employees in Michigan unless they are unreasonable (the solution might surprise you). An attorney needs to read the entire employment agreement to give you any sense of its enforceability as well as the risks you face by violating it.
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