References: <3DE526FA.7010908@BOGUS.earthlink.net> <firstname.lastname@example.org>
Subject: Re: Who owns your mind?
X-Newsreader: Microsoft Outlook Express 5.50.4920.2300
Date: Thu, 28 Nov 2002 06:54:01 GMT
NNTP-Posting-Date: Thu, 28 Nov 2002 01:54:01 EST
Organization: Cox Communications
"Jim Thompson" wrote in message
> A lot of these agreements aren't enforceable. If you didn't receive
> "consideration" (that is, a direct sum of money, or a portion of your
> salary designated as "consideration") when you signed it, the
> agreement is generally invalid. If there's no "consideration" clause
> there's no *contract*.
> The following URL may also be of interest to you young bucks....
Many noncompete clauses are now tied to stock option agreements; refusal to
sign means you don't get your option. Unless the agreement is written by an
idiot, it's most likely enforceable. We took the one we were presented with
to an attorney who specializes in compensation contracts for Silicon Valley
executives. He told us that the non-compete clause was very enforceable. The
consideration is the option itself, even if it has no current value, and
even if it's never exercised.
Note that this is different that an employment agreement in California. As I
mentioned in another post, California limits the scope of employment
From the company's point of view, the nice thing about tying various clauses
to a stock option is that it is a contract, and not as restrictive as an
-- Mike --