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Forum nameThe Daily Grind
Topic subjectsigned a noncompete form
Topic URLhttps://www.businessownersideacafe.com/forums/dcboard.php?az=show_topic&forum=109&topic_id=200
200, signed a noncompete form
Posted by lisamarie, Thu Aug-21-08 08:13 AM
ok,
my husband and i own our own business. have for over 10 years. my brother in law lost his job because the business closed down. we hired him on, thinking it would be temporary until he got himself another job. well, he was with us for over 6 years. we really didn't get along. he wanted to do things his way or no way at all. we were constantly butting heads he would get loud and unruley in front of other employees. i gave him several warnings... nothing worked. it seemed everytime we got into it and i let him go my husband was bringing him back..
when i hire my employees they have to sign a manual and they also have to sign a non compete form which is good for five years after termination of employment.
well, long story short. im a member of a website which markets companies like mine to mortgage companies. they post your company name, your name, address, phone numbers and website address if you have one.
i go on one day and see i have a few competitors out there and decide that i want to check them out, you can find out where they are located and what type of services they offer... i see one in particular and find that it is owned by the brother in laws wife that is still employed by me (mind you the wife has no title sense at all)... so i show it to my husband and he asked me "how did you find out?"... he knew all along. i instantly fire my brother in law and lay the law down to my husband and let him know that i don't appreciate the betrayal both from my husband and a business partner. he tells me that i will just have to get over it.

my brother in law decided to start his own business but to do it under his wifes name, so therefore avoiding the non compete form he so genersously signed when employed. he then goes and files for unemployment which you can imagine caused complete additude from me. my husband thought it was ok that he do this also. i of course called unemployment and let them know exactly what my brother in law was up to. they denied him... but then he hired an attorney and filed for motion. we were sepeoned to court... the company was anyway. i refused to go only because my husband wanted me to lie in court about the reason my brother in law was canned. he ended up collecting on my unemployment insurance for 6 months ($8000) worth. i also find out later that he was using my contractors to do his work while he was in my office. therefore im sure i paid thousands of dollars in fees so that he could run a semi successful office on the side. all the while he was getting a paycheck and helping my husband be decietful...

you should never hire family.. if they cant get hired by anyone else theres probably a reason and you don't want that monkey on your back.

lisamarie
202, RE: signed a noncompete form
Posted by Bizseller, Fri Aug-22-08 10:14 AM
You should fire your husband. He should have been fiduciary to you.
204, RE: signed a noncompete form
Posted by Pepperfire, Mon Aug-25-08 06:37 AM
I agree with Bizseller.

AFAIC, your first mistake was in going up against your husband when you found out what had happened. He was fine with the situation; why weren't you?

Your second mistake was in not going to court and telling the truth about why you fired your brother in law. If you were going to make the stand, why didn't you follow it through?

Your ongoing mistake is continuing to have your husband involved in your business.

I would be talking to a divorce lawyer if I were to learn that my husband's brother is more important to him than I am.

Your hubby's ONLY mistake was in doing anything behind your back.

You have bigger problems than simply hiring family; and from where I sit, they have entirely nothing to do with your business and everything to do with your marriage.

Tina Brooks, VP Marketing
Brooks Pepperfire Foods, Inc.
Makers of Peppermaster Hot Sauces
http://www.peppermaster.com

Eat more peppers!
205, RE: signed a noncompete form
Posted by Sologretto, Mon Aug-25-08 11:19 AM
If I were in your case and what I heard was exactly what happened I would:

1) File for Divorce on irreconsilable differences. As for assets that's up to your and him, but PLEASE PLEASE PLEASE don't use the kids as a weapon... ...please.

2) Fire your husband from the company and anyone else who worked for your B-I-L knowingly.

3) Obtain a stop work court injunction for the brother in law's business for harming your company using insider information and company assets.

4) Sue the brother in law for every penny he earned as competition while working for you. Depending on the industry and the non-compete you might be able to get him for everything, but it's unlikely.

5) Accept that everyone you just fired, divorced and sued will hate you and speak badly about you. Whenever you are confronted regarding the situation all clients and associates should hear something like: "That is/was an ugly situation... 'I'm currenty working through it with them and the courts (or soon 'I'm glad it's over') and I want things to be positive moving forward. It wouldn't be right for me to say much as it reflects poorly on some people."

6) Accept that you will probably have a long term competitor in your ex-husband and brother-in-law who will take forever and a day to pay you back. Every time you take work out of their hands (through healthy competition) just grin and think of it as one more bit of revenge for what they put you through.
216, RE: signed a noncompete form
Posted by nightsky, Mon Oct-13-08 08:05 AM
Sounds to me like your husband has some major problems. The movie "Deliverence" came to mind (about him) when I read your story.

If you have an attorney... I hope that you have talked with him. If not, then you should at least get Pre Paid Legal. I have had them for 10 years and for $25 per month... they are one of the best buys I have for my business. I all them all the time to prevent problems and at times when I need advice to solve problems.

Look around... you should be able to find someone who sells it. If not... then I know of some.

Good luck!




Jeff S.
Night Sky Murals
Award Winning Murals

www.NightSkyMurals.com (Product)
www.DarkSkyMurals.biz (Business Opportunity)

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328, RE: signed a noncompete form
Posted by artmuz76, Wed Dec-21-16 02:51 AM
I'm new and I'm interested in this topic. Thank you!