Solicitation of Employees as Breach of Non-Compete Agreement
Full Question:
Answer:
The answer depends on whether there was an employment contract with the employee and if it contained a non-compete and/or non-disclosure agreement. In some cases employers make non-solicitation agreements not to lure each other's employees in their own employ. However, without such contracts, it is not illegal for one employer to poach the employees of another company.
A court will generally enforce a non-compete agreement if it is reasonable in terms of the restrictions on the employee. It should be limited in time and distance that it covers, so that the employee isn't prevented from earning a living. The agreement may contain terms that
prohibit the disclosure of confidential information and solicitation of other employees. The employment of the individual is considered adequate consideration to make the contract enforceable. If another employer is aware of the non-compete agreement and intentionally seeks to interfere with its terms, it may be possible that that employer is liable for damages for intentional interference with a contract.