Spin said:
Need some advice on who to contact. Started my own company. Some friends that are in the same line of business have expressed leaving and coming to join me. They're currently based in KY and I'm based in TN. They all three work for the same company and signed the same noncompete. They also have a client who's contract is up at end of April they know will follow them to my company. Who do I talk to ensure we're not liable to being sued? Lawyer in TN or KY? Their noncompete specifically says states of Indiana, Kentucky and Florida and the client in particular is based in Illinois. There is also a clause about nonsolicitation of other employees.
Find a good local labor/employment lawyer and get a consultation. Most likely it will be the individuals being sued and not your company, but you'll want to understand the risks and potential costs involved in taking them on. In many cases, the new employer will indemnify new hires for legal costs associated with a non-compete defense. Don't assume anything. I recently reviewed non-competes for several employees of the same company, a sophisticated company with strong in-house counsel which I know to be represented by one of the largest firms in the country, and I am certain the non-competes are unenforceable in our state. That doesn't mean we won't have a lawsuit and some costs, potentially significant - that's still very possible.