tintdude.com logo




Home | Forum | Lo-Fi Version | Site Map

non compete forms for new trainees



Custom Search



custom tinter
does anyone have a good non compete form for new hires/trainees. I would love any opinions or comments on doing this
willie
Most of the time they arent worth the paper written. twocents.gif
custom tinter
My friend that a dent guy tell me I have to do a radius, but i agree with u. I just hate the idea of training my compitition and letting some guy get to know my dealers.
TITAN500
do a google search for free non compete form.
a non compete may make you feel better but good luck enforcing it......big$$$ in court fees
a non compete may intimidate some employees into not striking out on there own in your area but its better to treat them well and pay them well so they wont ever want to leave, but may beg you to sell them your business. thumb.gif
willie
QUOTE (custom tinter @ Jan 16 2008, 08:04 PM) [*]580491[/*]
My friend that a dent guy tell me I have to do a radius, but i agree with u. I just hate the idea of training my compitition and letting some guy get to know my dealers.


From what Ive seen, and its not many. The radius deal is the only thing that seems to hold up a little. YOur not squashing there right to work, but just hindering it a little if it was to go to court.

We could turn this into a 2 hours discussion. Dude if you know how to tint, do what you can, keep the money to yourself and just do what your capable of doing.
Bigger is not always better.

Are you in the tint business now or just getting a shop started dunno.gif
tintgod
QUOTE (custom tinter @ Jan 16 2008, 10:04 PM) [*]580491[/*]
My friend that a dent guy tell me I have to do a radius, but i agree with u. I just hate the idea of training my compitition and letting some guy get to know my dealers.

that is the nature of the beast...the only way to get around it..dont hire employees grinning_and_saying_no.gif ..keep it small
willie
QUOTE (tintgod @ Jan 16 2008, 09:16 PM) [*]580506[/*]
that is the nature of the beast...the only way to get around it..dont hire employees grinning_and_saying_no.gif ..keep it small


mark it down .......we agree on something again dunno.gif
Marco
QUOTE (tintgod @ Jan 16 2008, 09:16 PM) [*]580506[/*]
that is the nature of the beast...the only way to get around it..dont hire employees grinning_and_saying_no.gif ..keep it small

Thats how it works thumb.gif Compete contracts hold up in courts in Ohio any where else I don't know but why make a bit of money training someone that one day can come back and open up shop next door dunno.gif
Readyman
QUOTE
Most of the time they arent worth the paper written.
QUOTE


Bingo. Unless you have a very good lawyer, most judges will not enforce a non compete. They are reluctant to limit a person's right to make a living.
What you can do, and I have personally seen enforced, is setup a legal document that calls for you to get a certain % of their work for a set number of years if they open up a shop within whatever radius you designate.
I forget what its called but there is a legal term for it.
As long as the terms are not excessive, say 20% for the first year, then 15% for the second, etc., these can stand up in court.
Of course, it is a pain the ass to enforce though.
Readyman
Damn, I haven't posted in so long that I forgot how to work the quote thing. hmmmmmmm.gif
willie
QUOTE (Readyman @ Jan 17 2008, 01:19 AM) [*]580646[/*]
Damn, I haven't posted in so long that I forgot how to work the quote thing. hmmmmmmm.gif


quote button, bottom right hand corner thumb.gif
tintingbytami
Back in the 80's when I first got started I signed one. I did however move the 100 miles radius and she still tried to get me for it . Didn't work. Than I also had a past emplyee of mine sign one. I had to fire him for stealing from me and doing crap work on the side and trying to say if they had any problems we would take care if it anyway....I took him to court he was ordered to cease tinting within 100 miles of me for 10 trs like the contract said .....But he didn't he move from tint shop to tint shop and it just wasn't worth the time or money to take him back to court he dug his own grave so to speak ....
Key West
Its a HUGE pain in the ass, but a non-compete contract IS enforceable IF:

The person in question had no knowledge of the business to start, and you trained him/her from the ground up.

You are not trying to stop him from making a living by imposing too great an area that he cannot operate in. (Excessive distance from his/her home, less than 10 miles from you)

You are not asking an exhorbitant amount of money for "training compensation" (20% of their income is not gonna fly)

The courts have generally ruled that a person has a right to work in the field of his/her choice. If you provided the training, you are entitled to compensation, but generally do not have the expectation that they cannot open shop and compete. You knew the risks involved when you decided to train them. At least thats how Fla, Ga, and Tenn see it.

You WILL be training your eventual competition. As long as you go into it with that in mind, a better idea would be to agree on a "training compensation package". This would be where the trainee acknowledges your training, and agrees to pay you a certain amount of money for that training, or agrees to work for you exclusively for a certain period, say 5 years, in lieu of the training fee. Say for example, you charge him/her 10,000 to train, or work for you for 5 years. They quit after 3 years, they still owe you 4,000. If you fire them or lay them off, it could get sticky unless you let them go for misconduct.
At least this way, you have a legally acknowledged debt, and a contract for repayment. (The figures used are examples only)
Hope it works out for you.
flat rock stan
Tell ME about training!!!! I have 3 shops with in 6 miles that the tinters all were paid to sign non compete contracts. Lawyer recommended this when he drew up the contract. The deal here is it cost more than it's worth to maybe win and then have to have it enforced. Not to sound hard nose but the best thing might be to work hard at putting them out of business. Slow season is a good time to it. dunno.gif
Marco
QUOTE (flat rock stan @ Jan 25 2008, 12:44 PM) [*]584788[/*]
Tell ME about training!!!! I have 3 shops with in 6 miles that the tinters all were paid to sign non compete contracts. Lawyer recommended this when he drew up the contract. The deal here is it cost more than it's worth to maybe win and then have to have it enforced. Not to sound hard nose but the best thing might be to work hard at putting them out of business. Slow season is a good time to it. dunno.gif

I think that is the best way to do it thumb.gif I would spend a fortune and all my time to take out the loser that thought they could open up shop after agreeing not to. I don't care how wrong it sounds but I run a business with a license and insurance and a family to support no way would I let someone I helped out try to take it away nono.gif
Michael Troncellito
If anyone has questions about non-compete, non-piracy, and confidentiality agreements for their new hires, I can assist you with that in the states of Arizona and Massachusetts. One potential way to possibly avoid the big fees in court as the same relate to enforcement is to have what is called a "liquidated damages clause" for any breach of the agreement(s). If you have any questions, please call as I am a licensed Arizona (and Massachusetts) attorney. Please feel free to contact Michael A. Troncellito Jr., Attorney at Law, Barton & Troncellito, PLLC, 714 E. Rose Lane, Suite 100, Phoenix, Arizona, 85014 (602) 230-2977, e-mail mtroncel@cox.net. Hope
Thetintcenter
QUOTE (tintingbytami @ Jan 17 2008, 10:28 AM) [*]580678[/*]
Back in the 80's when I first got started I signed one. I did however move the 100 miles radius and she still tried to get me for it . Didn't work. Than I also had a past emplyee of mine sign one. I had to fire him for stealing from me and doing crap work on the side and trying to say if they had any problems we would take care if it anyway....I took him to court he was ordered to cease tinting within 100 miles of me for 10 trs like the contract said .....But he didn't he move from tint shop to tint shop and it just wasn't worth the time or money to take him back to court he dug his own grave so to speak ....


I just went through this. The person who signs the agreement CAN work in another tint shop as an installer. They cannot open or own a shop which does tint with the radius of the agreement. There isn't a judge in the world that wouldn't allow a person to make a living doing their trade whether you or anyone else trained them. thumb.gif
CleanCutter
of course it depends entirely on your state.

there ARE states where NONCOMP's are completely and totally not allowed. "Right to work" states as they're called. Make sure you're not in one of them.
VATinter
In most cases non-compete agreements do not hold up in court. What I have been told by my attorney is that no court is going to prevent someone from working and supporting their family. Being a window tinter is considered a specialized trade which makes the court rule in favor of the employee everytime.

Like someone said before, you are better off treating your employees well. I have offered incentives for installers that bring work in. Additionally, on the auto side, I pay them a higher commission for the cars they bring in themselves. That way they still get to use the shop and my film....but I still make money on the job. Not as much, but it makes it worth it to the installer to not do it on the side.

If people are looking into non-compete type agreements, you are better off with a non-disclosure agreement. Those do hold up in court and will protect your company from someone copying everything you do. Just remember that in the end, a court will not prevent someone from working to support themselves and their family.
Key West
QUOTE (Thetintcenter @ Feb 7 2008, 03:18 PM) [*]590638[/*]
QUOTE (tintingbytami @ Jan 17 2008, 10:28 AM) [*]580678[/*]
Back in the 80's when I first got started I signed one. I did however move the 100 miles radius and she still tried to get me for it . Didn't work. Than I also had a past emplyee of mine sign one. I had to fire him for stealing from me and doing crap work on the side and trying to say if they had any problems we would take care if it anyway....I took him to court he was ordered to cease tinting within 100 miles of me for 10 trs like the contract said .....But he didn't he move from tint shop to tint shop and it just wasn't worth the time or money to take him back to court he dug his own grave so to speak ....


I just went through this. The person who signs the agreement CAN work in another tint shop as an installer. They cannot open or own a shop which does tint with the radius of the agreement. There isn't a judge in the world that wouldn't allow a person to make a living doing their trade whether you or anyone else trained them. thumb.gif



Please note the 6th paragraph/bullet about new employer liability

Although the laws differ from state to state, general principles apply to non-compete contracts in most jurisdictions. Here are some considerations to keep in mind:

  • Rule of Reasonableness: In order to be valid, a non-compete agreement must be reasonable. Courts recognize that employers have a legitimate interest in protecting the time, investment, and other resources they have invested in employees, but that interest must be balanced against an employee's job mobility in a free enterprise system. Courts generally will scrutinize non-compete agreements carefully to make sure that they are geared to protect the reasonable business interests of an employer without unduly limiting an employee's other work opportunities. Therefore, these arrangements must usually be tailored narrowly to restrict truly competitive activities without forbidding an employee from working in the same industry or profession in a way that is not competitive.
  • Independent Consideration: In many states, a non-compete agreement is valid if entered into at any time after an employment relationship begins. But in some states, courts will not enforce non-compete agreements unless the employee gets what is termed "independent consideration" - in other words, if they get something in exchange for signing the agreement. If this principle applies in your state, a non-compete agreement will be valid only if it is signed at the time employment commences, or at a later date if the employer gives you some additional benefits such as increase in salary, promotion, or other items of value.
  • Duration: In order to assure that these contracts are not too stifling, courts will generally require that they only last for a limited amount of time. The duration depends upon a number of circumstances, including how long it will take to train another employee to take over the position being vacated. Generally, non-compete agreements one or two years in length will be valid, and longer time periods may be suspect. Courts generally will permit longer non-compete periods in connection with a sale of a business when a new buyer insists that the old owner refrain from competing for a prescribed period of time. In these situations, courts reason that the parties should be permitted to negotiate whatever time frame they want since the exchange is less coercive than it is in an employer-employee relationship.
  • Distance: In addition to duration, a non-compete agreement often must have reasonable geographic limits. In today's global economy, the distance factor is less significant than it has been in the past. But if an employer has a particular market area, courts may refuse to enforce non-compete agreements that extend beyond that. For instance, a cosmetology business that draws most of its customers from a radius of 10 or 15 miles probably couldn't limit a former employee from working in the cosmetology business outside of that market area.
  • Blue Pencil Rule: Many courts follow the "blue pencil" rule, which means if an agreement is too restrictive, the courts can modify it and then enforce it. But in some states, the "blue pencil" rule is prohibited, and courts must either uphold non-compete agreements as drafted or invalidate them entirely.
  • New Employer Liability: In many states, employers who lose an employee to a competitor in violation of a non-compete agreement can sue the new employer, as well as the old employee. In these states, employers are reluctant to hire away employees who have non-compete agreements. The best approach for employees in these states is to let their prospective new employer know about the non-compete so that the employer is not later "surprised" with a lawsuit by the old employer. The new employer may decide that the non-compete agreement is invalid, or may be willing to assist the employee, including payment of legal expenses, in the event of a lawsuit by the former employer.


An employer should keep these principles in mind when hiring employees - both in terms of looking out for agreements that employees may have signed at their old jobs and with regard to negotiating non-compete agreements for their new jobs. Such clauses can be a very effective way to protect valid business interests, but they should be drafted with the assistance of legal counsel in order to provide assurances that the language used will be enforceable.
metro jim
why would you make a new employee sign a non-compete in the first place? I would not sign one, and you would loose one good tinter.

do you know of anyone that has ever had this enforced without a fact of proprietary knowledge? you don't actually have some secret patent or secret installation system do you, if not it wont work.

In some states you the employer can be sued if you make an employee sign one and can not find another jobs making the same amount of money as before thinking he cannot tint anymore.....yes really, loss of wages with interest because of a non-legal contract. See if the lawyer will take some liability of that if it comes back to haunt you.

And Last but not least. The only time I have ever heard of a non compete holding any water was in the sale of a business.

There are companies out there training people how to tint for under 1k think about that before you claim a loss from training someone. you are far better off paying someone as much as you can, they will become life-long employees that will look out for your interests......there are exceptions of course....dr*g test too!
tuttle
did that a long time ago. my boss should of drawn up a contract, ive taught 6 men already,none started their own business yet
exotic window tint
QUOTE (Marco @ Jan 17 2008, 02:19 AM) [*]580621[/*]
QUOTE (tintgod @ Jan 16 2008, 09:16 PM) [*]580506[/*]
that is the nature of the beast...the only way to get around it..dont hire employees grinning_and_saying_no.gif ..keep it small

Thats how it works thumb.gif Compete contracts hold up in courts in Ohio any where else I don't know but why make a bit of money training someone that one day can come back and open up shop next door dunno.gif




has that ever happend 2 anyone here someone opened up a shop like a few doors down how would u handle that
Jerry250f

[/quote]



has that ever happend 2 anyone here someone opened up a shop like a few doors down how would u handle that
[/quote]
Kicknutz.gif shooting_a_gun.gif piss1.gif mgwhore.gif
tint123
Non-Compete in TV, one newscaster left Channel 8 here in Dallas, and was not allowed to go back on the air for 1 Yr.
I imagine Channel 11 had him working in some capacity at the station, just could not be on thet air for 1 yr.
Radio Personality Russ Martin left a Station here in Dallas years ago, had a non-compete for 6 months, 1 day after the non-compoete expired, he was on the air at another station.
Could be in both cases that the old station paid these folks during their non-compete time, but don't know.
watchdaride

Because alot of shop steal employee in the spring paying 35-45% commission then lay them off in september . More reliable shop keep the employee over the winter which cost alot just to have someone steal them away






For now we see through a glass, darkly; but then face to face:
now I know in part; but then shall I know even as also I am known.

© 1999 - 2009 Ric Wellman All Rights Reserved.
Contact: tintdude[a]gmail.com