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Employee Compete Agreements – Unenforceable

From HRCalifornia Extra newsletter, August 2008, California Chamber of Commerce

The California Supreme Court confirmed that non-competition agreements are unenforceable in California. Agreements that restrict an employee’s ability to pursue similar employment after leaving a job are prohibited, even if narrowly written and leave a substantial portion of the available employment market open to the employee. Unless a non-competition agreement clearly falls under one of the following exceptions, it will be unenforceable in California:

Governor Schwarzenegger Announces $727 Million for Schools and Career Technical Education

Furthering Governor Arnold Schwarzenegger’s commitment to improving school facilities and stimulating the economy with infrastructure projects, the California State Allocation Board (SAB) announced today it has directed $727 million in Proposition 1D funds and other bond money to build or modernize 331 schools throughout the state. Included in the allocation are more than $201 million in funds for career technical education (CTE) programs.

Mechanic’s Lien and the California Constitution

by Sam K. Abdulaziz, Abdulaziz, Grossbart & Rudman

The case of Clarke v. Safeco finally confirmed that mechanic’s liens are protected by the California constitution. The case started out in a dispute over work done at an office of MGM. Subcontractors were not paid. The reason for failing to pay subcontractors was alleged to be that the prime contractors above the subs were not paid. Therefore, the “Pay-If-Paid” clause protected the upper tier contractors.

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