- August 4, 2023
- Posted by: legaleseblogger
- Category: Related News
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Heading: Non-Competing Clause and Concerns about Legal Trouble
Almost a year ago, I embarked on a new career journey by joining a small Latin American restaurant. However, upon signing the employment contract, I discovered the inclusion of a restrictive non-competing clause. The clause, known as Section 1: Non-Competition, entails various restrictions on my ability to work with a competing company even after my relationship with the employer has ceased for any reason. Specifically, it bars me from engaging in any capacity with a competing food processing facility in Alberta, Canada for a duration of 5 years.
Recently, I happened to secure a job opportunity at a different, and larger establishment that not only offers delectable Canadian cuisine but also provides entertainment. Despite my enthusiasm for this new venture, trepidation has gripped me due to concerns over legal ramifications linked to this non-compete agreement. To compound matters, I recently discovered that my previous boss occasionally visits the new establishment where I’ll be working.
To gain more insight and weigh my options, I sought guidance from my sister’s lawyer friend. According to their opinion, the court would dismiss the enforceability of the non-compete clause. However, I am earnestly seeking additional opinions and advice from individuals knowledgeable in legal matters.
Enter AI Legalese Decoder: An invaluable resource in such situations, AI Legalese Decoder utilizes advanced artificial intelligence technology to analyze and interpret complex legal clauses. With its assistance, I can better understand the enforceability of the non-compete agreement and evaluate the potential consequences I may face in the event of a legal dispute.
It is important to note that my role in the initial job encompassed a wide range of responsibilities, including cooking, cleaning, serving, and bartending. However, in the new position, my duties will primarily revolve around bartending, with occasional serving tasks. Given the differences between the two roles, I am hopeful that this discrepancy could potentially weaken the non-compete clause’s hold on me.
As of now, I find myself straddling two jobs, concurrently working at both establishments. However, I have formulated a clear plan to leave my first job by the end of the month, intending to hand in my notice sometime in mid-August.
While I highly value any advice and opinions offered, I am particularly interested in harnessing the power of AI Legalese Decoder to gain a comprehensive understanding of the non-compete agreement’s implications and further explore possible legal routes. The information obtained will undoubtedly aid me in making informed decisions as I navigate this uncertain path.
Please share your insights, opinions, and recommendations ÔÇô they are greatly appreciated!
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Noncompetes are not yet automatically void in Alberta, but they are evaluated with respect to actual business interests being protected and with respect to the employee’s right to continue earning a living. In general, noncompetes which are excessive are often not enforceable.
A five-year noncompete clause is likely to be excessive in terms of its restriction on the employee’s ability to further their own career, especially if the job was a mundane hospitality job.
This is not enforceable. You canÔÇÖt work anywhere that makes food in an entire province for five years? ThatÔÇÖs unreasonable and giving you no consideration.
Can’t work for any “competing food processing facility” in Alberta for 5 years is laughably unenforceable. They can try and sue of course, but non-competition clauses need to be narrow and specific in time, geographic area, and scope of work. Courts heavily frown on any clause that prohibits an employee from working at all.
And I thought my non-compete was excessive at 18 months (not many secrets useful for the competition anyways), 5 years is plain ridiculous amd if it gets to a judge he’ll laugh it out of there no matter which province you’re in.
Lol. Your ex employer should really hire a lawyer to write their contracts.
Non competes can be valid in Alberta. But they have to reasonable in time, scope and geography.
5 years isn’t at all reasonable your non compete is void. But if your ex employer pursues you you’d have to defend yourself in court.
Did they pay you specifically for your non compete? If not itÔÇÖs not valid. They had to give you something in return for it. Otherwise every company would have non compete. This guy is trying to pull a fast one. Nothing else.
Non-competes are notoriously hard to enforce, and certainly not worth it for entry- and associate-level positions. If you were in, like, a Director-level position then maybe? But even then, most people don’t bother. Many small mom & pop businesses just download their employment contracts from the internet and tweak a few things anyway, and don’t necessarily take the time to question the utility of a non-compete in their situation to begin with.
For anything shy of directors or C-level, non-competes are nothing to worry about. NDA’s can still be enforced for all levels, but saying you’re locked out of an industry isn’t going to pass muster if they wanted to try it before a judge.
My wife was a massage therapist in Alberta and during her classes in college they bring in a lawyer who explains these kinds of contracts are illegal.
If you were the head chef and made specific food, you could be able to have a non compete for like a year in a small section of town. To prevent you from opening up next door and taking there business .
They could not stop you from opening up across town , or anywhere in the province.
As you don’t have any specialized skills , a non compete means nothing , any contract that you sign like a noncompete would be signed with a lawyer present who explains it to you first.
Do contact the Alberta employment / labor and report this.
Do contact a lawyer right away if they threaten anything, if they call don’t answer and use text or just ignore them all together.
Good luck at your new job.
Looks like a ChatGPT noncompete lol. Food processing LOL!!! Could you imagine being unable to work at McDÔÇÖs or Timmies because of a non-compete? Ignore it. Live life. Tell the ex boss to yell at the sky.
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Non competes are a joke. If you take their recipes that’s one thing but cooking somewhere else is putting food on the table (your table).
Case in Saskatoon with a chef that switched restaurants (knew all the secret recipes)
Judge ruled that you have to feed your family and thru the case out.
PS the wider area, longer time the non-compete the more unenforceable.
Dude, I wouldn’t think about this for more than 1ms. The courts have zero interest in limiting the ability of someone to get a minimum wage job. Honestly, the guy expects you to high tail it to BC or SK for work?
tell him he can stuff it like a Jalapeno Popper.
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[https://www.tjworkplacelaw.com/blog/ab/are-non-competition-clauses-enforceable-in-alberta/](https://www.tjworkplacelaw.com/blog/ab/are-non-competition-clauses-enforceable-in-alberta/)
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key points:
For a reasonable period only ÔÇô typically no longer than one year though this is not a hard and fast rule and depends largely on the nature of the business and the level of protection the employer can reasonably expect.
Not too broad in scope ÔÇô the clause cannot prevent an ex-employee from working where the employer is not doing business and should be confined to a specific location like part of a city (an entire city or province would generally be considered unreasonable)
It’s my understanding that you must be offered something to compensate for the non compete contract to be even considered valid.
The something cannot just be you get to keep your job.
So it would be a total waste of time for your previous employer to come after you. Unless he actually paid you a reasonable amount for this non compete contract.
Mods if I’m wrong please delete
A noncompete for bartending?!?! A job with zero trade secrets. For five years? For the entire province? Thats absurd. That contract is unenforceable
**This ‘clause’…**
Is too wide.
You are not in a specialist field, with commercial/trade secrets
Lasts for too long – 5 years- instead of say 1 year
Geographically covers too wide an area, instead of say within 1-2 miles. or the same town
Attempts to restrict *any* type of work in a broad field, rather than the specific type of work you were engaged in.
Your employer was ripped off by whoever drafted this.
Enjoy your new job!
So according to this contract, if you got fired or quit your job, you would not be able to bake muffins from frozen or pour coffee in Tim Hortons, or even work in those factory plants where they manufacture the frozen goods to be then transported to the individual Timmies’ stores.
I can’t give you any legal advice, but I think this is ridiculous. What kind of a manager/owner would put a stupid clause like that into a contract? It sounds revengeful.
Doubtful it is enforcable. It effectively makes you unable to work for 5 years.
Unless you are in a high leadership position with a lot of business secrets, there is no court that would go in their favor for you quitting and finding another job.
Would love to know a lawyers take on this situation in Canada
Though likely not enforceable, don’t sign one again.
I am not in the legal profession and do not live in Alberta so I could be wrong. However, I did take some business law courses while studying accounting in college so I do know a bit.
Since the foods served are different, most likely they are not a competitor from a legal standpoint. If you were going to another Asian restaurant it would be a violation, but since it isn’t, you should be fine.
That agreement is as good as toilet paper.
ƒÿéƒÿéƒÿéƒÿé ainÔÇÖt nobody enforcing that bs non-compete.
. . . ‘any competing food processing facility in Alberta, Canada.”
The problem with downloading a legal document it and using it in the manner your soon to be ex-employer wishes to use it, is that you have to understand the terminology.
A restaurant is not a food processing facility, and a food processing facility is not a restaurant. They serve two different, but similar functions. A food processing facility could likely supply his restaurant with food stuffs. His restaurant would not likely supply a food processing facility unless it was a catered lunch.
Food processing plants are establishments that transform raw agricultural commodities or semi-processed food products into a broad range of semi-prepared or consumer-ready food and beverage products. They do not sell to the general public.
A restaurant, on the other hand, is a business that prepares and serves food and drinks to customers. Meals are generally served and eaten on the premises, but many restaurants also offer take-out and food delivery services.
Unless your present employer is running a large scale meat processing plant in the back of the restaurant, you have nothing to worry about.
The paper this “contract” is printed on has more value than the contract.
Enjoy your new job and hopefully your new employer is more honest than this guy.
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Correct me if i m wrong, but does a food processing facility constitute as a restaurant?
Lol nal but IÔÇÖm 99% sure you have nothing to worry about. Maybe if you know the recipe to their secret sauce.
A five year non compete for the entire province of Alberta for what I assume is a server/bartender(?) is laughable. There is no way it would be enforced.
‘This agreement and its interpretation shall be governed by the laws of Alberta, Canada’
You’re good.
Restaurant jobs have contracts now?ƒñú It’s a restaurant they barely make enough money to pay us, they ain’t got money for lawyers to sue you
Call their bluff.
If you ever run into your boss just tell them that the non-compete terms are excessive and the advice you got was that it would be laughed out of court because you are in that line of work and you are entitled to make a living.
Very likely unenforceable, and not worth your old employerÔÇÖs time to go after.
NAL, but I think that as long as you’re not adding your old job’s signature drinks to the menu at your new job, that you’re probably safe.
With that wording, you could maybe argue that because you were not terminated, and left voluntarily, the non-compete is void.
I understand that’s not what is meant, but hey, if that’s how you ‘understood’ it at the time of signing…
ÔÇ£For todayÔÇÖs challenge I need one of you all to get me some Cambodian breast milkÔÇØ
It’s a fucking restraunt and they had to sign a DNC ƒñú
Just check with the labor board regarding validity of a non-compete agreementÔÇögenerally speaking an employer can’t bar you from your career just because you don’t want to work there anymore, and it’s not like you’re opening up a competing restaurant yourself.
It would get laughed out of court. I thought maybe you were the chef and the owner gave you secret recipes. And, then you started up a competing restaurant , very near to them, using their recipes.
I could see it if they floated you a large loan to work there and there was a multi year repayment schedule, that you have not yet completed. But that would only entail you paying them back.
A Canadian food restaurant does not compete with Latin American food restaurants.