What is your non-compete situation?
Employer threatening to sue me for working at competitor
New employer concerned about my existing non-compete
Employer already filed lawsuit against me
Trying to leave for competitor and worried about contract
Where did you sign the non-compete agreement?
In California with California employer
Another state but I now work in California
Another state and employer claims that state's law applies
Multiple states involved - it's complicated
Does your situation involve trade secrets or confidential information?
Yes - I had access to significant trade secrets or proprietary information
Yes - I had customer lists or business strategies
Maybe - I'm not sure what qualifies as a trade secret
No - just general skills and knowledge
What type of restrictive agreement did you sign?
Only a non-compete (can't work for competitors)
Non-compete plus non-disclosure/confidentiality
Multiple agreements including non-solicitation of customers/employees
Related to sale of business or partnership dissolution
What is your current employment level?
Entry-level or mid-level employee
Manager or supervisor
Executive, C-suite, or key decision maker
Business owner or partner selling ownership interest
What outcome do you need?
Just want to understand my rights before leaving
Need to respond to employer's cease and desist letter
Need to defend against active litigation
Want to proactively sue employer for illegal non-compete
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California Law Strongly Protects You
Your situation appears straightforward under California's strong anti-non-compete laws. California generally voids non-compete agreements, and recent legislation (SB 699, AB 1076) has made these protections even stronger.
CA Labor Information
Wrongful Termination Letters
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Legal Representation Recommended
Your situation involves complexities that warrant legal counsel. Issues like trade secrets, multi-state agreements, active litigation, or business sale non-competes require careful legal analysis even in California.
Find Employment Lawyer
Contract Dispute Letters
⚠
Consider Legal Consultation
While California strongly disfavors non-competes, your situation has some factors that could complicate matters. A consultation can help clarify what restrictions might still apply, such as trade secret protections or non-disclosure obligations.
Get Attorney Consultation
Contract Breach Letters
California Non-Compete Laws: What You Need to Know
California has the most employee-friendly non-compete laws in the nation. Under Business and Professions Code Section 16600, contracts restraining anyone from engaging in a lawful profession, trade, or business are generally void and unenforceable.
Good News: In 2024, California enacted SB 699 and AB 1076, which further strengthen protections. Employers can no longer require employees to sign non-competes (even for other states), and attempting to enforce void non-competes can result in penalties.
What California Law Says
| Type of Restriction |
Generally Enforceable in CA? |
| Non-Compete (can't work for competitors) |
NO - Void under B&P Code 16600 |
| Non-Disclosure (confidentiality) |
YES - For legitimate trade secrets |
| Non-Solicitation (customers) |
MAYBE - Only if using trade secrets |
| Non-Solicitation (employees) |
Generally NO - But varies |
| Non-Compete from business sale |
YES - Exception under B&P 16601 |
| Non-Compete from partnership |
YES - Exception under B&P 16602 |
When You Still Need a Lawyer
- Trade Secret Claims: Even without a valid non-compete, employers can sue for trade secret misappropriation under CUTSA
- Active Litigation: If your employer has filed suit, you need legal defense
- Multi-State Issues: Out-of-state employers may try to enforce other states' laws
- Business Sale or Partnership: Different rules apply to these transactions
- Retaliatory Conduct: If employer is threatening you illegally
- Seeking Damages: New law allows employees to sue employers for illegal non-compete enforcement
Important: While the non-compete clause may be void, other parts of your agreement (confidentiality, invention assignment, non-disclosure) may still be enforceable. Don't assume the entire agreement is void.
Recent California Legislation
Effective January 1, 2024:
- SB 699: Makes it illegal for employers to attempt to enforce void non-competes, even if signed in another state
- AB 1076: Requires employers to notify current and former employees (from prior 2 years) that any non-compete clauses in their contracts are void
- Employees can now sue for injunctive relief and attorney's fees
Self-Help vs. Lawyer Comparison
| Factor |
Handle Yourself |
Hire Lawyer |
| Simple CA non-compete threat |
Point to B&P 16600 |
If they persist |
| Trade secret concerns |
High risk |
Strongly advised |
| Cease & desist letter |
Can respond yourself |
Better credibility |
| Lawsuit filed |
Not recommended |
Essential |
| Seeking damages under new law |
Not recommended |
Required practically |
Helpful Resources
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