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Tell HN: Beware confidentiality agreements that act as lifetime non competes

416 points throwarayes | 1 comments | 21 Jun 25 16:02 UTC | HN request time: 0.329s | source

Just a note of warning from personal experience.

Companies don’t really need non-competes anymore. Some companies take an extremely broad interpretation of IP confidentiality, where they consider doing any work in the industry during your lifetime an inevitable confidentiality violation. They argue it would be impossible for you to work elsewhere in this industry during your entire career without violating confidentiality with the technical and business instincts you bring to that domain. It doesn’t require conscious violation on your part (they argue).

So beware and read your employment agreement carefully.

More here https://www.promarket.org/2024/02/08/confidentiality-agreeme...

And this is the insane legal doctrine behind this

https://en.m.wikipedia.org/wiki/Inevitable_disclosure

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timoth3y ◴[21 Jun 25 21:04 UTC] No.44340716[source]▶
Non-competes (including stealth non-competes like the OP mentioned) are being abused by US employers seeking leverage over their employees.

In fact, 12% of hourly workers earning $20 or less had to sign non-competes. These workers do not have access to corporate secrets. It simply reduces their power to negotiate with their employer.

https://www.minneapolisfed.org/article/2021/non-compete-cont...

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aforwardslash ◴[21 Jun 25 22:32 UTC] No.44341215[source]▶
Not only in the US; without going into too much detail, many countries in south America and Africa have strong business connections with the US, and it is quite common to see the ever-abusive dumb dumb US contract templates being used in those countries, even when local law differs significantly. Usually, the posture is "we can do whatever you want and you keep your mouth shut, or else we'll sue you for everything". I loathe organizations with these kind of contracts.
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aforwardslash ◴[21 Jun 25 22:34 UTC] No.44341226[source]▶
On a personal note, I once was presented with such a (US) contract that also required me to list every NDA I had signed to date; Since then, I always assume most US lawyers are beyond incompetent.
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1. anonzzzies ◴[22 Jun 25 08:47 UTC] No.44345198[source]▶
We have been sued over signed contracts many times over the 3 decades we are in business. Almost only by US companies, but well, shitty for them, Dutch judges (and lawyers) rather laugh about those overbearing things in those contracts. We don't even need a lawyer before we sign them as we know they are worth nothing here. And that's been tested many times now. Fyi; we didn't break them; it's just that we are tech troubleshooters-for-hire and we work for many companies (1000s) over time; the suing is always the paranoid delusions were the contract states we cannot provide our services for any competitors of them or even companies that are not competing but in the same market forever and ever. F offfff. But yeah, it costs them a lot of money and we are insured for it (which is cheap compared); we don't waste any time or money on this.