Employee non compete contract

[lancpa]

I am hoping that someone out there can help me with this. My husband and I have a small family business, we do not hire our employee we simply give them a 1099 at the end of the year. Which I guess from the legal stand point makes them subcontractors. We have a guy that just started working for us that had worked for another local company that pretty much offers the same service we do. Today we received a letter from their attorney stating that we have to terminate his working relationship with us as he has signed a non compete contract with his past employer. We do not think it is legally binding it was not notarized and it clearly states it is an Employee non compete and he was not an employee if he never received a W-2. Is there anyone that can tell me if we are correct in what we are assuming!!!!

Are we required to terminate our relationship with him

[jacksgal]

Instruct this Attorney to talk to your Attorney

[lancpa]

I contacted an attorney today however we will have to wait to get an appointment and find out what if anything we have to do. I am not sure how long it will take to get an appointment and I am afraid to allow him to work until we know something. I also do not want to loose him but not giving him work. I just feel like we are stuck between a rock and a hard place. This other company should not be allowed to keep a man from working to feed his family for the next two years. He stopped working for them because they had no work and the few customers that they managed to get they would over charge them. He had no future there and it just doesnt seem like it would be legal for them to control where he works for the next 2 years.:mad:

[jacksgal]

In many industrys non compete contracts are the norm.