Non-compete Valid? first Laid-off then Fired

[Puzzled_in_NYC]

Hello,

I was recruited from California by a NY company. I signed a NY employment agreement at a set salary with a one year non-compete clause.

About 6 months into my job myself and other coworkers received a 20% salary decrease due to corporate non-performance. Disappointed, I did not sign anything agreeing to the 20% deduction.

10 weeks later, I voluntered to be laidoff with other people as I was not happy with the corporate direction. Managment agreed for me to be included in the lay-off.

On my last day they presented me with meager severance and wanted me to sign an exit letter which confirmed the noncompete clause. I refused to sign unless I got a reasonable severance package, so I could find a job in another industry, which they refused. I currently have a competitive company interested in me, but for a different skillset than what I did at my previous employer.

They are now saying I am "fired" for non-performance. I have no negative marks on my performance record.

Questions...

1. Is the non-compete clause valid if you get layed off or fired?
2. Is my origonal contract valid if they change the terms without my consent (20% pay deduction)
3. In my case does it matter if I am fired or laidoff?

Thanks in advance!

 

[cbg]

1. Since we have not read the terms of the non-compete, we have no idea. If you are asking whether there is a law that automatically voids a non-compete in the event of either a firing or a layoff, no, there is not. Whether or not this particular non-compete is enforceable or not can only be determined by an attorney in your state who has read the entire agreement.

2.) Essentially the same answer as #1. Since we have not read the contract, we have no idea. Ony an attorney in your state who has read the contract can say.

3.) Not that I can see. It might make a difference if the terms were used properly more often, but since so many people (incorrectly) use the term layoff to indicate any involuntary termination that is not for cause, any difference between the two has pretty much become meaningless.

 

[Puzzled_in_NYC]

More Info

Thank you for your feedback.

I have retained legal council; it looks like all is well and I have a valid case.

--Not Puzzled in NY Anymore