How Can I Contact My Old Clients and Customers Without Violating My Confidentiality, Non-Compete and Non-Solicitation Agreement? Pennsylvania Non-Compete Lawyers

CALL US TO DISCUSS YOUR NON-COMPETE

NO CHARGE FOR INITIAL DISCUSSION

610-647-5027

Pennsylvania Courts Limit the Enforcement Confidentiality Covenants in Non-Competition Employment Contracts to Trade Secrets and Cases Where Employee Took and Used Company's Confidential Client or Customer Information at New Job

In Pennsylvania, many companies require employees to sign Employment Agreements containing Confidentiality clauses restricting an employee's use of the company's "confidential and proprietary information" during the employment relationship or after it ends.  Usually, there is no time limit associated with such a prohibition.  it lasts "forever."

Yet, avoiding problems with such restrictions is common sense easy - just do not take or use any of your former employer's information!

Don't Do This!

I Signed an Employment Contract Stating That All of the Company's Information Was "Confidential and Proprietary Trade Secrets" -- Am I Stuck?

Usually, such Confidentiality covenants require the employee to agree that anything he/she learns about the company, its operations, processes and customers, is "confidential and proprietary" and constitutes "trade secrets."

Proving the Existence of a "Trade Secret" is Difficult

But Avoid Doubt by Not Taking or Using Any Company Information 

in Your Next Endeavor

The mere fact that your employment Agreement says that you agree that everything you learn while employed with the company is a "confidential and proprietary trade secret" does not make it so.

Is All Information a Pennsylvania Employee Learns While Employed "Confidential and Proprietary Trade Secrets?" 

Not Always Worth the
Paper Written Upon

Pennsylvania courts basically hold that information maintained by a company does not rise to the level of being "confidential and proprietary" unless it rises to the level of being a "trade secret."

What, Exactly, IS a Trade Secret?

What is  Trade Secret in Pennsylvania? Pennsylvania's "Uniform Trade Secret Act"

Many courts, when asked to determine whether an employee is guilty of violating a Confidentiality provision in an Employment Contract, evaluate whether the information allegedly misappropriated by the employee is covered by the Pennsylvania Uniform Trade Secret Act, found at 12 Pa.C.S. §§5301 et seq. The Acts defines "trade secrets" as follows:

"Trade secret." Information, including a formula, drawing, pattern, compilation including a customer list, program, device, method, technique or process that:

(1)  Derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use.

(2)  Is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.

Trade Secrets = Closely Guarded Information

                                                    Not Generally Available to the Public

So, chances are, unless the information at issue is akin to a patent (or at least a patent application) or  a highly secret formula (kept in a locked in a safe to which only few within the company have access - THINK: Coca Cola formula) or is a closely guarded IT-related information (THINK: Apple Encryption dispute), it is very unlikely that you have been provided access to a trade secret.

Am I Free to Take My Prior Employer's Customer Contact Information, Pricing Data and Contract Documents and Use it in my New Job?

All that being said, Pennsylvania Courts are generally hesitant to permit an employee to use information maintained by the employee's former employer to compete with the former employer at the employee's new job. This is especially true where the employee is bound by restrictive covenants found in an Employment Agreement protecting confidentiality, limiting competition and, particularly, prohibiting solicitation of clients/customers!

HERE ARE SOME OTHER ARTICLES YOU MAY FIND WORTHWHILE:

Are Non-Compete Agreements Enforceable in Pennsylvania?  How Can I Negotiate a Non-Compete?

Non-Compete Agreements and Trade Secret Litigation - The Fulcrum is Whether the Legitimate Business Interests of the Former Employer Are Detrimentally Affected by an Employee's Violation

Non-Compete Agreements - Legally Enforceable or Not, Negotiation is Often the Key

The Truth About Non-Competition Agreements That Your Employer Does Not Want You to Know - Mere Breach of Non-Compete Not Enough for Injunction

The Milkman Principle: Why Solicitation of Former Clients or Customers Will Always Get You in Hot Water in Pennsylvania if You Have a Non-Compete Agreement

Pennsylvania Employment Lawyers: How to Respond to Cease and Desist Letters Concerning Non-Compete Agreements

I am Being Offered Severance But Asked to Sign a Non-Compete in Pennsylvania - What Should I Do?  Pennsylvania Employment Attorneys Explain

Should I Sign a Severance or Separation Agreement Requiring Me to Consent to a Non-Competition Restriction?  Pennsylvania Employment Lawyers Discuss

What Can I Do if I am Bound by an Employment Agreement I Signed in Pennsylvania Limiting My Use of Confidential Information, My Right to Work for a Competitor of My Former Employer and My Ability to Solicit My Customers and Clients?

There are ways to safely reach former customers without running afoul of Confidentiality, Non-Competition and Non-Solicitation provisions found within a valid Employment Contract governed by Pennsylvania law.  The methods require patience, common sense, an acute understanding of Pennsylvania case law and the use of social media.

Clients Want to Follow Their Milkman
You Just Have to Go About it the Right Way and Give it Time

If you find yourself in a quandary because you feel your ability to earn a living is being hamstrung by an Employment Agreement you signed with a company for whom you are no longer employed, it is best to seek legal counsel so that you may develop a strategy that will maximize your ability to thrive, while minimizing the likelihood that you will be sued by your former employer.

610-647-5027

Philadelphia Area Employment Attorneys Representing Employees

We typically represents workers who need an employment lawyer in Philadelphia County, Chester County, Delaware County, Bucks County, Berks County, Lancaster County and Montgomery County.

Pennsylvania Employment Attorneys Provide Free Telephone Consultations

If you are looking for an employment lawyer, and live or work in Malvern, Wayne, King of Prussia, Downingtown, Glenside, Doylestown, Radnor, Newtown Square, Exton, Philadelphia, West Chester, Skippack, Langhorne, Haverford, Nether Providence, Broomall, Drexel Hill, Reading or any of their surrounding towns, feel free to send us an e-mail via our Contact Form or give us a call at 610-647-5027.  We are always glad to spend some time with people via a free telephone consultation.

Need an Pennsylvania Employment Labor Lawyer in Chester , Montgomery, Delaware or Bucks County?

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I was Fired - What Should I Say on My Internet Online Application for Pennsylvania Unemployment Benefits?

CALL TODAY AND WE CAN DISCUSS YOUR CASE AT NO COST TO YOU

610-647-5027

How Do I Fill Out Pennsylvania's Internet Initial Application for UC Benefits 

When I Was Terminated From My Job?

You should file a application for Pennsylvania Unemployment Benefits as soon as possible, or risk potentially losing out on some benefits.  Perhaps the best (and certainly the fastest) way to apply is via PA's Dept. of Labor Portal  -  https://www.paclaims.state.pa.us/UCEN/ApplicationClosed.asp

HERE ARE SOME OTHER LINKS YOU MAY FIND WORTHWHILE:

Should I Hire a Lawyer for My Unemployment Appeal Hearing in Pennsylvania?

Unemployment Appeal Hearings by Telephone in Pennsylvania - The New Norm - And Why You Want to Consider Hiring Legal Counsel

Pennsylvania Unemployment Lawyer - Willful Misconduct Referee Hearings

Seven Things to Know About The Pennsylvania Unemployment Compensation Board of Review

I Want to Quit My Job and Get Unemployment Benefits in Pennsylvania

Pennsylvania Unemployment Determination of Financial Eligibility - PENNSYLVANIA UNEMPLOYMENT LAWYERS

How Do I Complete an Application for Unemployment Compensation Benefits in Pennsylvania - Did I Resign or Was I Fired?  What is a Reduction in Force Versus a Layoff?

 What is a Necessitous and Compelling Reason for Quitting my Job Under Pennsylvania Unemployment Law? Philadelphia Unemployment Lawyers Explain

The Burden of Proof in a Pennsylvania Unemployment Appeal Referee Hearing

Performance Appraisals, Performance Evaluations and Character Evidence at a Pennsylvania Unemployment Appeal Hearing -  Experienced Unemployment Lawyers Explains Why They Are Generally Irrelevant

Can I Get Unemployment in Pennsylvania if I am Out on Disability Leave? What are the Differences Between Short-Term Disability and Long-Term Disability?

 

Most Common Mistake Made on Pennsylvania Unemployment Applications - Saying You Were Laid Off or Part of a RIF When in Fact You Were Told You Were Terminated for Cause

Perhaps the most common mistake in unemployment applications is the mischaracterization as to why the employment relationship ended.  More specifically, the most common error is when an applicant says he/she was let go due to "lay off" or "reduction in force" (RIF) as opposed to what he/she was told at the time of the separation -- that they were being fired because of ALLEGED rule violation(s), insubordination, tardiness/absenteeism, falsification of time records, improper use of company's computers, conflict with co-worker(s), customer complaints, poor performance, etc.

It may be that  the most common reason for these mistakes are as follows:

1)  the employer was ambiguous when explaining the reason for the separation and/or provided no meaningful reason (i.e. "we are going to part ways")

2)  the employer clearly stated the reason for the separation, but the employee does not believe the employer, and substitutes his/her belief as to the "real" reason behind the firing for what he employer said at the time of the separation.

If I Make a Mistake on My Application For Unemployment Compensation in Pennsylvania, Can I Get in Trouble?

Assessment of Financial Penalty
Add to a Host of Problems

When an applicant misstates the reason for the employment separation, he/she unwittingly starts a chain of events, each link of which is worse than the one preceding it.  Here is a paradigm that explains this principle:

• applicants who state that the separation was due to lay off or RIF immediately begin to receive unemployment benefits;

• the people who work for the Pennsylvania Service Center, who are claims investigators, believe that every Pennsylvania citizen is aware of this rule, and its converse --

• on the other hand, applicants who say they were terminated must wait until their claim is investigated before possibly beginning to receive benefits;

• when an application is filed, it is immediately sent to the employer, who is told what the applicant said was the reason for the separation, and is asked to state the employer's reason for the termination;

• if the employer states that the applicant was fired due to some action or inaction (often referred to as "willful misconduct") or "poor performance (which is generally not considered "willful misconduct" and is therefore not a basis for denying benefits), many Service Center Representatives brand the applicant as a "liar" who intentionally misstated the reason for the separation in order to immediately start receiving benefits;

• in this scenario, in a large majority of "close cases," the Service Center 1) finds that the applicant guilty of wilful misconduct and denies the claim; and, 2) charges the applicant with fraud, requires the applicant to return all benefits previously paid, and adds a substantial penalty.  This is what is referred to as an "at fault overpayment" or "fraud overpayment."   

It is Hard to Admit You Were Fired - But It Must Be Done

With regard to the two most common reasons for misstatements on applications identified above (employer ambiguity and employee disbelief), employee disbelief of the employer's stated reason for the termination, coupled with good, old-fashioned pride, is probably the most prevalent cause.

"Dismissal or firing is generally thought to be the fault of the employee, whereas a layoff is generally done for business reasons (for instance a business slowdown or an economic downturn) outside the employee's performance. 

Firing carries a stigma in many cultures, and may hinder the jobseeker's chances of finding new employment..."

From Wikipedia article entitled "Termination From Employment."

Wiki is spot on here.  Where "at fault overpayments are concerned, "pride truly goeth before a fall."

Not All Bosses are so Direct!

If the Employer Made the Decision to End Your Employment Because of Something it Alleges That You Did Wrong, Then You Were Terminated - and You Need to Say as Much on Your Unemployment Benefit Application

It is hard to admit you were fired.  I get it, believe me, I do.  But, if you were fired, and you want to put yourself in the best position to obtain UC Benefits, it is in your best interest to:

• republish exactly what was said to you at the time of the termination (using "quotes" is an excellent idea if possible); and/or,

• to cite and "quote" any written document provided to you on or soon after you were terminated.

In fact, failing to "admit" you were fired can not only cause your claim to be denied, but it can also lead to a finding that you committed fraud on your application, which in turn will lead to your being assessed substantial financial penalties, which the Commonwealth will be intent on collecting.

Understanding the principles explained below, and following the the suggestions that follow. will take the guesswork out of completing the application, and will dramatically reduce (if not eliminate) any possibility that you will be accused of fraud in connection with your application.   

What is an Involuntary Separation from Employment Under Pennsylvania Unemployment Law?

In the broadest sense, an involuntary separation is one that was initiated/decided by the employer. So, in fact, unless you quit, you were involuntarily separated from your job.

No Ambiguity Here - The Reverse Donald

Completing an Application for Pennsylvania Unemployment Benefits: Was My Separation From Employment Due to a Lay Off, a Reduction if Force or a Firing?

For purposes of this Post, which is concerned only with employer-initiated terminations of employment, there are 3 choices to select from if you were separated from employment on the employer's motion: 

1)  a "lay-off " is "[t]he temporary or permanent removal of a worker from his or her job, usually because of cutbacks in production or corporate reorganization."  Dictionary.com;

2) a "reduction in force" is "a separation from employment due to lack of funds, lack of work, redesign or elimination of position(s) or reorganization, with no likelihood or expectation that the employee will be recalled because the position itself is eliminated."  Vanderbilt;

3) a "firing" is generally deemed a termination due to ALLEGED "willful misconduct," which is a catchphrase for a wide variety of employee actions or inactions that a reasonable person would understand could or would lead to termination, the most common of which are repeated violations of a work rule after being warned, falsifying work records such as time cards, repeated absences or tardiness, insubordination (refusing a boss's directive), threatening a co-worker, being the recipient of customer complaints. etc.  Like the U.S. Supreme Court said when defining pornography, you know willful misconduct when you see it.  

My Employer Did Not Explain Why I was Being Let Go From My Job - Is That Legal?

Employers are not required to explain why an employee is being discharged. However, if the company did not provide you with any specifics as to why you were being let go, and in fact appeared evasive, you were likely terminated for cause.

How is that?

Lay-offs and RIFs are almost always accompanied by a written communication provided to the employee at the time of the separation - the same is often not the case where an employee is fired for ALLEGED willful misconduct.  

Just the Facts, Ma'am - Like it or Not, Pennsylvania's Unemployment Application Requires You to State What Your Employer Told You Was the Reason You Were Being Let Go - 

When completing the application in involuntary separation situations, the applicant is required to inform the Department of Labor what he/she was told was the reason his/her employment was being severed.

Hence, it is a bad idea to do either of the following when applying for benefits:  

• Characterizing what you were told by your employer was a firing or a termination as a “lay-off” or “reduction in force” even if you believe that is the real reason you were being let go.  If you were told you were being fired because you ALLEGEDLY did something wrong, then you must report that on the application even if you believe that what you were told was a flat out lie;

• Spending a great deal of time presenting your "defense" to what you believe the employer will say you did wrong. Disputed claims often lead to a  a Referee Hearing.  At such Hearings, anything the applicant or employer said or submitted to the Service Center during the claims adjudication process is admissible unless excluded on grounds of hearsay, etc. So, unnecessarily "taking the lead" at this early stage of the process, at the risk of inadvertently saying something that can later come back to haunt you (such as, "Yes, I came to work drunk, but everyone does that" or "well, Sally falsified her time cards just like I did, and she wasn't fired'").

NOTE:  Two more things to bear in mind: 1) if you later hire an attorney, he/she will be grateful that you did not say anything that is inconsistent with his/her strategy for the Hearing; and, 2) evidence and testimony provided during the unemployment claim process may be admissible in a future legal proceeding between the parties for discrimination, wrongful discharge, etc.  In such situations,  your attorney will be doubly grateful that you did not say anything that could be "used against you" in that litigation!.

In conclusion, the best practice when filing an application for Pennsylvania Unemployment Benefits is to focus on providing a clear recitation as to exactly what was said to you or provided to you at the separation meeting (or soon thereafter).  In doing so, just state the facts - and avoid presenting your "defense."  Make the employer satisfy its obligation, satisfying its burden of proving you engaged in willful misconduct.  Then, down the road, you will have plenty of opportunity to disprove the validity of the ALLEGED willful misconduct asserted by the employer.

610-647-5027

Philadelphia Area Employment Attorney Representing Employees

We typically represent workers who need an employment lawyer in Philadelphia County, Chester County, Delaware County, Bucks County, Berks County, Lancaster County and Montgomery County.

Pennsylvania Employment Attorney Provides Free Telephone Consultations

If you are looking for an employment lawyer, and live or work in Malvern, Wayne, King of Prussia, Downingtown, Glenside, Doylestown, Radnor, Newtown Square, Exton, Philadelphia, West Chester, Skippack, Langhorne, Haverford, Nether Providence, Broomall, Drexel Hill, Reading or any of their surrounding towns, feel free to send us an e-mail via our Contact Form or give us a call at 610-647-5027.  We are always glad to spend some time with people via a free telephone consultation.

HERE ARE SOME OTHER ARTICLES YOU MAY FIND WORTHWHILE:

What is an ILLEGAL Hostile Work Environment? Workplace Bullying Alone is Not Illegal in Pennsylvania

#MeToo - The Rules and Deadlines for Sexual Harassment Claims in Pennsylvania - A List of Most Famous Sexual Predators

What is an ILLEGAL Hostile Work Environment? Workplace Bullying Alone is Not Illegal in Pennsylvania

#MeToo - The Rules and Deadlines for Sexual Harassment Claims in Pennsylvania - A List of Most Famous Sexual Predators

Why is it Important to File an EEOC Charge? How to File Discrimination Claims in Pennsylvania? Time Limits to File Discrimination, Hostile Work Environment and Retaliation Charges in Pennsylvania

Employee Complaints and Retaliation - What is Legal and What is Illegal

How Do Federal, State and Local Anti-Discrimination Laws Work Together to Protect Pennsylvania Workers?

Does My Pennsylvania City, County, Township or Borough Have Any Discrimination Laws Protecting Employees?

FILING A CHARGE OF DISCRIMINATION IN PENNSYLVANIA - A FEW TIPS FROM CONTINGENT FEE LAWYERS

The Philadelphia Fair Practices Ordinance Makes it Illegal to Engage in Workplace Discrimination Because of Sexual Identity, Sexual Preference, Status as Domestic Abuse Victim, Marital or Familial Status, Ethnicity or Ancestry

Employed "At Will":  What Does That Mean? Pennsylvania Contingent Fee Lawyers Explain the Most Important Employment Law Principle

United States Employment and Discrimination Laws - An Overview by Pennsylvania Employment Lawyer

Do I Have a Case for Constructive Discharge? Nearly 50% of People Who Are Unemployed Quit Their Job - Pennsylvania Contingent Fee Employment Lawyers

Voluntary Severance Offers - How to Negotiate and What to Look for When a Company Offers Severance

Secrets to Severance Negotiations in Pennsylvania Revealed:  Philadelphia Employment Lawyers' Guide to Severance Laws and Strategies

Misclassification of Employees as Independent Contractors - What's That Mean? Pennsylvania Contingent Fee Lawyers Explain

Can 1099 Workers Get Overtime? What Can I Do if I have been Called an Independent Contractor (Paid on a 1099) When I Should be Deemed to be an Employee (w-2 Worker?)  Pennsylvania Employment Lawyers Explain

Thanks for checking in with us.