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Non-compete Issue

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singerman

Junior Member
What is the name of your state (only U.S. law)? California

My questions is about a Non-Compete document I signed many years ago with an entertainment booking agency stating that I would not pursue any of their former clients nor use any of their promotional material for my gain. Other than this non-compete I've never been under contract with this booker, nor had an exclusive verbal agreement - although we worked together for over 12 years.

At the beginning of this year one of the booker's former clients (an event planner) contacted me directly to book a gig for a fundraiser. I urged them to contact the booking agency since I had worked this gig through the agency before. The booker called me to offer the gig at a significantly lower yet FIRM price - which I declined. I made up my mind to pass on the gig, expecting it could lead to problems with the booker.

Fast forward to August when the planner called to say they were OFF of the gig because of cost cutting by the fundraiser - and that the gates were now open for us to do the gig by getting with the fundraiser, because the booking agency had always been hired by the planner, which made the planner the "client" as far as the booking agency was concerned. We still begged off, not wanting a problem from the booker.

End of August, the fundraiser called us directly and begged us to do the gig (they never wanted any other band for their event), and challenged whether we were signed exclusively to the booker - and told us they weren't interested in working with the booker because they didn't like the way they did business - so we agreed to provide entertainment for their event.

Now, a week after the gig is over the booker is of course livid, calling all the musicians to say we're thieves and liars, and sending raging emails. We expected no less from this agency - they are ruthless. Now, our question is, are we in a jam here?

We stopped working with the booking agency over 4 years ago, except for two gigs last year (1 was for the fundraiser but booked through the planner). As we understand it, California is a 'right to work' state, so at what point can we start working with anybody we want to? I don't have the document in front of me, but it was signed in either 2004 or 2005. Do these non-compete agreements expire at some point automatically? Can the booking agency hold this over our heads forever? What can we do to dissolve this agreement?

To reiterate - we were never signed to this agency. We did sign a non-compete agreement at the end of our relationship stating WE wouldn't pursue their former clients BUT what happens if the former customer (by way of the event planner) PURSUES US?

Looking forward to your response. Thank you!What is the name of your state (only U.S. law)?
 


Zigner

Senior Member, Non-Attorney
Non-competes, are invalid in California by statute (with some exceptions - and yours doesn't sound like one)

Check out the following (not an endorsement):

http://www.andersenalumni.net/%5CCalifornia%20Non-Compete%20Agreements.pdf
 

singerman

Junior Member
Thank you so much for clarifying how lucky we are to live in California. I never expect things to work out for the little guy, but this time I've been proved wrong. Cheers!
 
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