Non Compete Agreements

[somarco]

in order for Company A to sue you, they would have to prove without doubt, that you hunted down their list of clients and prospective clients, with the SOLE intention of selling them the product from Company B.

That is some really bad advice.

They don't have to PROVE anything to file a suit. If the case ever get's to court they will be required to prove their claim but there is no requirement to prove their case when the suit is filed.

While it is true that many non-compete, non-piracy, non-solicitation agreements may be difficult to enforce if the one bringing the suit has deep pockets and want to use you as an example, you need to be prepared to defend your case.

It cost me $20k to prove there was nothing to the suit brought against me but I had no choice but to defend myself.

 

[Josh]

I would say your GA is unethical, find a new one

Is it a GA or an agency?

 

[love2serve]

Is it a GA or an agency?

Nothing recent....it was something that was told to me by a GA about 6 years ago. I have just been doing some thinking and wondering what some on here thought.

 

[Guest]

Nothing recent....it was something that was told to me by a GA about 6 years ago. I have just been doing some thinking and wondering what some on here thought.

My thought is pretty simple............YOU signed the contract, so ABIDE by it, then you have no worried and can call yourself ethical!

 

[senior-advisor-indiana]

Just roll them and worry about the consequences later.

 

[djs]

Taking the client files may be unethical. Without those, how would you contact your previous clients? Of course, family and friends are a different story.

Non-competes and non-solicits have a very distinct time to them, usually about a year. After that, they tend to lose effectiveness, even in courts. Of course, states do vary.

Now, if your former client finds you, does that violate a non-solicit? I've often wondered this. You didn't go after them, they came to you. Neighbors (and relatives) often fall into this type of situation for agents.

Dan

 

[xrac]

That is some really bad advice.

They don't have to PROVE anything to file a suit. If the case ever get's to court they will be required to prove their claim but there is no requirement to prove their case when the suit is filed.

While it is true that many non-compete, non-piracy, non-solicitation agreements may be difficult to enforce if the one bringing the suit has deep pockets and want to use you as an example, you need to be prepared to defend your case.

It cost me $20k to prove there was nothing to the suit brought against me but I had no choice but to defend myself.

Typical! The best thing to do is stay out of court. The last litigation I was involved in cost me about $9,000 and never went to trial.

 

[somarco]

We didn't go to trial either. Case was dismissed with prejudice when the other side finally admitted they didn't have a case.

12 months and $20k.

 

[b61mack]

if is the same kind of life policy, with similar rates, that is called churning. and you can loose your license. it is not worth it,put your big boy pants on...

 

[jmatos]

if is the same kind of life policy, with similar rates, that is called churning. and you can loose your license. it is not worth it,put your big boy pants on...

What if you dont replace the policy of the company that you signed the non compete with, but you sold them an additional insurance policy, and/or sold them something that the previous company didnt offer? Would this be unethical or breaking a standard non compete agreement?