Contracts

"Mistake" in ongoing service contract--can it hold?

Hubbell — Fri, 20 Nov 2009 06:02:09 GMT

I have used a service with a set monthly fee (like one's monthly insurance bills or a utility that has a set rate that doesn't change depending on usage) for a decade. I have been out-of-contract since the first or second year and the monthly rate hasn't changed since going down after the second or third year. Recently, the company decided to make everyone either accept or reject a new two year contract. We were not allowed to see the contract in advance, rather, we were given one chance to bring it up online then accept or reject it before closing that window. No way to read the contract, think about it, and decide later.

My contract had an incorrect price in it. Too low, i.e., lower than the monthly fee I had been paying. But since I had to accept or reject it, I accepted it.

Then when the company billed me the higher rate this month (via auto-payment), I objected, sending them a copy of the contract I saved, showing them the amount.

They admit they made an error but expect me to pay the full normal price, not the price I accepted with the contract they sent me.

I believe they are required to bill me only the amount in the contract for the next two years.

They will be checking with their legal department, but since it's not something worth me paying an attorney for an opinion on, I'd appreciate some thoughts from experts on this forum. Am I right that an agreement/contract holds, even if one side claims, "oops, we didn't mean to put that in the contract"?

Or can they claim the contract void?

If the latter, what good are contracts, if one side can simply throw them out if they don't like what's in them?

Breach of Contract

ViPa — Thu, 19 Nov 2009 13:03:04 GMT

I was hired as a construction manager to work for the owner/builder of a custom home that was recently burned. Typically I am the builder but in this specific case the owner requested our contract be drawn up so he would have 100% control of what he was building. He wanted a contract that would allow him to make any adjustments necessary without having any restrictions or addendums to our contract.

We agreed to the owner paying me a weekly salary for up to 50 hrs a week with no minimum hours worked requirement. Anything over 50 hrs a week was to be billed as overtime at a set hourly rate. The completion date was a rough date that was subject to adjustments based on the owner’s decisions. Basically if the owner decided to build a garage and received the certificate of occupancy then the contract would have been fulfilled. This of course could of went to the other side of the spectrum as well, the owner could of decided to keep adding on and build a mini mansion if chosen. In either case the weekly salary with overtime rate was what we agreed to during the duration of the project.

Around 8 months into the project near the rough in, the owner started telling a few subcontractors that he could add a lot more high-end finishes if he did not have to pay me anymore, he also stated to these subcontractors that he did not need me anymore and had planned on only using me to do the hard stuff. I immediately addressed this issue with the owner both verbally and in writing. The owner told me he was out of money and had to cut corners where ever he could and was only venting to the subs.

A few weeks later he breached the contract for no reason and refused to pay me the already worked overtime hours and 3 weeks of past salary. This was last October. I immediately hired a law firm who said I was entitled to all monies owed including the fulfillment of my contract.

Just last week one of the attorneys of the law firm that represents me told me I couldn’t sue for any additional money that the contract would of paid if not breached. He said I had to prove my losses. Even though my contract specifically states that a weekly salary is to be paid until end of project?

I feel this attorney has failed to represent me, and asked him why it took over a year for him to come to this conclusion. He avoids giving me straight answers and has failed to inform me of any documents that he has sent out on my behalf. In fact, he has never addressed any of my concerns that I have written to him in regards to this case. When I address this with him over the phone he acts like he never heard of these concerns before and instead of addressing them, he avoids giving me any direct answers.

Am I entitled to the remaining balance of my contract due to the owner’s breach? Both parties agreed to me getting a weekly salary until end of project. The project ended 8 weeks after the breach. There were never any complaints about my work prior to the breach, but I do have e-mails from the owner stating how I am doing a great job.

Is my Attorney being negligent?

one sided agreement

JUST3 — Wed, 18 Nov 2009 13:44:37 GMT

I am on the BOD of a new condo.The developer signed an agreement to rent a water cooler for the gym for $30/month plus tax for 60 months.The total cost will be over $2050 vs.buying a new one for $100.

The simple agreement reads "THE CUSTOMER AGREES THIS RENTAL AGREEMENT is FOR THE TERM specified AND CANNOT BE CANCELLED FOR ANY REASON"

Isn't this a one sided agreement with abusive terms which are voiding the agreement?

should we send this to the consumer protection agency?

Thank you

Gym Membership

vondey — Tue, 17 Nov 2009 18:49:56 GMT

I signed up for a gym membership for three years. I moved from where I used to live, so I went back to the gym to end my membership (I moved about 25 miles away). I later found out that there is another gym located about ten miles from where I now live.

I went to the original gym where I joined and informed them that I wanted to cancel my membership, I was told that I needed to go online to fill out a request. I did that and was called by a collection agency and was informed that I cannot end my membership because it is a binding contract. I looked at the membership agreement and realized that on the other side were the rules and reguations, but I have not read it nor signed it.

I was told by the gym employee when I signed up that if I needed to end my membership all I needed to do was return the pink copy of the agreement. I did that and still cannot end my membership. I even reported the business to the Better Business Bureau and I was told that the gym never responded.

What are my options?

Defamation / Intentional Infliction of Emotional Distress

kf1024 — Tue, 17 Nov 2009 23:34:03 GMT

I'm not sure which action to take or which area of law it would come under. What has been done is vile and has done emotional and financial harm to me and my sister - and psychological damage to our mother. The areas that may have been crossed legally are:

1) Defamation (Libel)

2) Intentional Infliction of Emotional Distress

3) Elder Law

My parents moved to AZ to be near my sisters and I almost 5 years ago. We have been providing care for them as their health has deteriorated (they are 80 and 83). Our mother had a stroke in January and has become increasingly paranoid and delusional.

Our mother told us that she would reward us for caring for them by making sure we got extra money (besides the $150k each she estimated among 5 kids). She had been paranoid about the weird stuff going on with the banks, the doctors, and accused my dad of stealing money from the banks and being evil.

My sister took her to her Dr. appt. with her PCP, and he prescribed mom 20mg Geodon once a day (minimum dose). She took the 1st and only dose the day my brothers came to visit 2 weeks ago (we didn't know at the time but their visit was to get control of them and their money - they only visited twice in 5 years). Our mom actually seemed much better mentally, but she was having coordination problems with walking. The entire family (dad, mom, 2 brothers, and me and my 2 sisters) were together and had dinner at my house.

I called my brother last week and he said they were getting all my parents' financial records or were writing up his will. Our mom had given me some of the paperwork for 4 CD's which were for me and my sisters. She said they were ours to do what we want. There were other CD's also but I had given them back to her another time. My brother ordered me to return the paperwork for the 4 CD's to my mom so he could get them.

That's when I knew something was up. I found out they came again last Friday to see our parents. My sister and I got together with mom, dad, and 2 brothers. The brothers accused us of drugging our mom for a long time, then they accused us of trying to MURDER OUR MOTHER! They said the day she took the Geodon and had trouble walking - she was ALMOST DEAD! I told them that if they thought he was being drugged, they should have got a blood test. And if they thought she was ALMOST DEAD, they should have taken her to the ER. The firefighter brother said he was legally above the doctors and pharmacists and the paramedic brother said he has the prescribing doctor's license in his hand. My dad threatened to have us thrown in prison for MURDERING OUR MOTHER!

My brothers were deliberately defaming my sister and I to my parents and caused my mother, who is paranoid and delusional, to fear for her life. They had her convinced we were trying to kill her and changed the locks on their house. My dad and brothers do not want our mother to get help for her paranoia. It's easier to control and manipulate her keeping her this way.

They were successful in their objective because I believe that my sisters and I will not get a penny when the parents die. So we were deliberately defamed and are traumatized by the betrayals and will also probably lose everything we were promised.

I think they convinced my parents to move to my brothers' in S. California and I will probably never see them or talk to them again.

Verbal contract

davem3261 — Mon, 16 Nov 2009 00:51:09 GMT

this is my issue. I have been working on a car to build and sell with a former friend for over 2 years. we had a verbal agreement to rebuild the car together and split the profit once it was sold. he provided the funds to buy the parts and i have the garage and tools to do it. He has been going through a divorce over the past year and hasn't been around at all to work on it. during that time he sold parts to a friend of mine and screwed him out of $400 worth of parts and has been very shady with money. Now i feel i can't trust him and if we ever did finish it i feel he would dissappear and not pay me my share. I have told him to come and get his car, I don't want to work on it anymore. He is coming to take it this week. He says he can't finish it without me and he is going to sue me. He is into it for about 50k and could sell it for 15k as it is now half finished. He wants to sue me for the 35k he is short once it is sold. Am i responsible for that 35K???

Non Solicitation clause

Bhawk — Fri, 13 Nov 2009 23:36:14 GMT

My contract says something along the lines of not hiring or retaining for services an employee of the company for 3 years after departure. Does a partnership fall into this category? I'm not hiring them nor retaining them for service. I'm partnering with them and they are not getting paid a salary.

Bankruptcy - Chapt 13

DelCar — Wed, 11 Nov 2009 02:18:09 GMT

I am confused regarding the 5 year plan. What happens if I currently owe a huge amount of unsecured debt. Will it be computed to be repaid in 5 years time. I do not earn enough moneyto pay all of it in 5 years. How is that computed?

Also, I donot have any equity in my home. It is valued at 400,000. I refinanced it to get a lower interest rate. How does my homestead exemption work. I want to keep it and continue paying my mortgage.

Does anyone have an answer. Thanks

Which is best forum to post about antitrust/monopoly?

anonymouse-1254 — Tue, 10 Nov 2009 19:16:07 GMT

Really a refusal to deal (I think that's antitrust)

Company I had monthly membership with went out of business

Phillong84 — Wed, 04 Nov 2009 21:18:53 GMT

I had a one year contract with a gym where they automatically deduct the montly payment out of my bank account. They went out of business and informed me that a new gym will be deducting the payment out of my bank account and to use their service instead. The new gym has the same equipment and is actually closer to me but I would rather go to a different gym if I had the opportunity.

Am I obligated to fulfill the rest of the one year contract once the company goes out of business?

My ex owes me money

saffy1 — Wed, 01 Apr 2009 02:52:14 GMT

My ex owes me a lot of money.I have 2 seperate contracts with him which he signed saying he owes me the money and a payment scheme.I think i could take him to small claims court for each contract.

I threatened to take him to court so he agreed to start paying me back but it was not much and i had to chase him up for it every time he got paid.He was paying me back $100 every 2 weeks for 3 months.Then he said he did not have enough so i got 2 payments of $50 and then nothing ofr the last month.The rate he is going it will take 10 years to get all my money back..yes i was stupid enough to lend him THAT much money.

I wanted to find out if the court says he owes me how i get my money back.He has just told me he has now lost his job so i have no idea how i will ever get money from him.I will not know wether he is working or not and if it is on the books.If its off the books i cant prove it!!! AH!!

Can i hire a debt collector?

Any advice would be great.I am getting stressed out with it all and very frustrated.This should be a priority for him and i know its not.

PS he has no assests either!!

Motion for non-suit without prejudice

JNR — Mon, 02 Nov 2009 05:19:19 GMT

What does the filing of 'Motion for non-suit without prejudice' by plaintiff against defendant mean?

Class Action in the case of Breach of contract

JNR — Mon, 02 Nov 2009 04:22:50 GMT

We had a case filed for breach of contract on a group of individuals(defendants) which is showing "Administratively Closed by Court" on online records of the district court dtd Oct '08. Now we get a copy of 'Plaintiff's Amended Motion for Interlocutory Default Judgement' from the office of the plaintiff's lawyer after a year addressed to the District Clerk having a hearing in the first week of Nov '09. What does this mean - is the case over and done with and the plaintiff is trying to befool us or there is another possibility of ex-party decision in this case?

Pest Control Contract

BryanFrank1986 — Fri, 30 Oct 2009 22:21:51 GMT

The pest control company wrote out a contract and it has my wife's name on the top of it, but my signature on the bottom. Is this a valid contract?

Verbal contracts

SCOTTZYKAN — Fri, 30 Oct 2009 18:09:55 GMT

I was married on October 17, 2009 with 160 guests. The electricic went out due to problem at electric company. It was out for an hour and a half. At the final meeting the week before the wedding our planner who works for the golf course told my fiance and I that we have nothing to worry about and everything would be taken care of. It wasn't, we had no power for most of reception. During the reception when the power went out, the person incharge informed me that a car hit a pole and that they had a generater, but the maintenance guy with the key lived an hour away. She then said that they would do whatever it takes to make this up including any extra costs and or refunds. We had some guests leave, but not all. The event was supposed to end at 11pm, but we stayed until 11:15 when power went out again and we called it a night. Fiance and I left for honey moon. A week later we returned to find out that my father in law called on Monday the 19th and spoke to someone who told him they would call back the next day. Well, they finally called back Thursday offering a two hour party for only 60 guests. He informed them that we couldn't reschedule a reception for only half of the guests, and we wanted some type of refund. They said no, and upped it to a three hour party, but still only 60 guests. My father in law stated if they would not negotiate something that we would persue further action. I called them then on the 26th and talked to this guy and he said that after the last conversation that they are not talking anymore. I calmed down the situation and let him know that we were not trying for a full refund or anything, just 15% which was about our deposite. He said that now that he has a number to go with he will talk to his boss and see. Well he called back the next day and left a message saying basically sorry, thats it there will do nothing now. Since we were verbally told everthing would be taken care of do we hold any ground? Deposite was $2000. We never threatened or got rude. We were lied to and was given the runaround ever since that night. They would not even set a meeting with us from the beginning. Thank you for any help. This was in Missouri.

Made a Mistake While Going Pro Se. Should I Bother to Reopen

mtawney13 — Wed, 28 Oct 2009 19:29:04 GMT

Because of my financial situation I decided to file for chapter 7 pro se. Bankruptcy law mandates that a personal financial management course be taken within 45 days of the first date set for the initial meeting of the creditors. I misread that as being 45 days within the actual meeting itself. The problem is that the meeting was rescheduled about 45 days after the first initial date set. Since I misinterpreted the requirement of filing withing 45 days of the first date set (Rather than 45 days after the actual meeting), they closed the case without discharging my debts.

Granted, I did give them everything required for my personal financial management course, just what I would consider to be 10-15 days late since I completed the course and submitted the required documentation after the rescheduled date. I requested the judge motion to reopen the case so I can extend the date required to submit my personal financial management certificate and documentation. However, they want $260 to reopen the case.

My question is whether or not it would be worth it to even bother paying the $260 to reopen the case? I cannot imagine they would give me the opportunity if they wouldn't allow an extension, but I was wondering if there were a strict set of guidelines regarding their abilities to extend the due date for the personal management certificate and documentation. There really isn't any other reason I would not have been able to hand in the certificate within 45 days other than the fact that I misinterpreted the knowledge.

I apologize if I posted in the wrong area. If this is the case, feel free to move this topic in the appropriate thread.

Thank you in advance!

Mike

can I get my car back?

Jen_Jen_Bo — Wed, 28 Oct 2009 07:05:07 GMT

Early this year my now ex-boyfriend was in an accident and expecting $25K from the insurance company. He walked into a dealership and drove away with no money down, no drivers license and no insurance. We were separated at the time so I didn't know about it until we reconciled. The insurance money did not come and eventually the tag expired.

Shortly thereafter, I received a SSDI lump sum payment. We had finally tracked down the insurance check problem and were assured he'd have the check within 10 days. Because I was very concerned about him driving under the above stated conditions, I agreed to pay for his car (payable from me directly to the dealership) and he agreed to reimburse me as soon as his check arrived. He was true to his word and I got a cashier's check from him for $14K within a week. Unfortunately, before I had a chance to deposit it, he beat the crap out of me, taking my cash and the cashier's check with him.

I have a paper trail of all the cashier's checks, a copy of the auto purchase contract, but the title is in his name and the DMV says there's nothing I can do.

The money was spent within a month and there's no chance of recovering payment via a judgement. Is there any recourse that will get me the vechicle that I paid for?

SHOULD I FILE FOR BANKRUPTCY

lisale — Tue, 27 Oct 2009 17:39:55 GMT

I'm currently going to a divorce. and i have a mortgage which i fell behind but i got a loan modification which lower my payment about 2-3 month ago. and just lose my business to my divorce and now i unemployment and currently pregnant i can't keep with my rent any more.

what happen if i let it go forclosure, because that is my only choice.

And i Also owner more than 50,000 in credit cards which i take out doing hard time with my salon that i give up in the divorce and making my mortgage.

Right now i'm in a partnership with a friend doing restaurant and it hasn't go like what we want.And the lease is under my name. and i don't have any money to pay for rent. the contract is a five years contract. i don't know what to do.

if the landloard sue me can i bring eveything to a bankruptcy?

Is Bankruptcy my only choice and what chapter should i take?

Getting out of a contract for a weight loss product

dulcinea2000 — Fri, 23 Oct 2009 03:07:45 GMT

I had been recruited to take a weight loss product. If enough weight was lost I would be awarded money and possibley be used in marketing. I signed a contract with the company, but have started having some adverse affects to taking the product. I want to stop taking the product but I don't know what to do to formally terminate the arrangement. How do I get out of this without any legal problems?

Non-Compete

tc4653 — Sun, 18 Oct 2009 17:11:30 GMT

My LLC signed an agreement with another LLC to market their product. Our relationship is now over and he owes me money. Can I use the email lead list I developed in my new competing biz? I never signed any confidentially, non-disclosure or non-compete agreement. I'd like to send an email blast to those people with a video tour of the Headquarters showing only 3 people work for that company. And then start marketing my products to them. Of course, I can skip the tour and just market the products?

Written cancellation prompts phoned-pressured oral consent

Tom L in SW Missouri — Mon, 12 Oct 2009 19:14:26 GMT

I apologize for the length of this, but I hope someone knowledgeable will take a few moments to read this.

We need help. I believe we are legally in the right, but still powerless.

I posted this in the “consumer affairs” forum, but then realized “contract" law was more appropriate. I hope the (near) duplication is permitted.

The central legal question surround issues of written contracts, written cancellations of those contracts, and late oral statements in the context of home solicitation sales.

The company is question is APX Alarm of Provo, UT.

So, here’s what happened: My wife signed a "door-to-door sales" contract with a home alarm company. She changed her mind and faxed a proper written cancellation within three business days. This one-page fax contained both the cancellation form torn from the contract, signed and dated, and a brief letter also stating her intention to cancel. She used a 3rd party fax service to insure date/time stamp and an independent log of successful transmission. The below information also confirms the reception of the cancellation by the alarm company. No subsequent written agreements exist.

OK, a few days later "Chris" from the alarm company unexpectedly telephoned her in the afternoon and pleaded for another chance to bring additional equipment and make the system work satisfactorily. He expressed heartfelt concern for our family safety and the company’s desire to be given another chance to provide a satisfactory setup. She finally consented.

Additional visits failed to provide satisfactory service. Why this is so can be explained, but I won’t waste your time here with that. Anyway, the system was never used and turned off. The company was contacted confirming the earlier cancellation. Multiple letters were mailed to the company. All these received no response. In fact, the company continued to take automatic withdrawals from her Visa card. She finally went to our bank and cancelled that credit card number – no small matter since the card had also been used for several automatic payments and services like Paypal, Amazon, etc. So, at the next payment cycle, the alarm company (finally) contacted us via telephone demanding new card number. She refused.

The service was never workable, was not used, and all equipment has been returned (delivery confirmed by UPS record) to the company.

Nevertheless, the company demands that we owe them more than $2000 for a five-year contract in full. They have been unrelenting and compromising in their demands. We finally changed to an unlisted landline number. They have (this dispute is more than a year old by now) now turned it over to an aggressive collection agency that threatens to ruin our credit and has suggested going against our house. The dispute has caused us many months of effort, tremendous stress, several hundred dollars, and now potential damage to our credit history.

We consulted an attorney locally and were told the amounts involved are too small for a lawyer's attention (it cost us $350 to be told that).

Their position: The company or collection agency claims that (1) a faxed cancellation, even when received and acknowledged, is not valid and (2) my wife's oral consent over the phone reversed the written cancellation. (I know, they are self-contradictory claims.) and a full and unbreakable five-year contract exists, regardless of any of the above facts or our use or lack of use of the service.

Our position: I believe the faxed written cancellation ended the contract when it was communicated (see statute citations below). I believe oral consent, except under certain circumstances, cannot reverse a written cancellation of contract (see legal precedent below). In simple terms, no contract existed at the time of the telephone call to my wife.

I believe the standards required for an oral agreement to have the weight of a binding contract were not remotely present (see legal precedent below). Her oral consent was contextually and legally only “an agreement to make an agreement” (also in precedent below) and not a contract. Since no written agreement was presented or signed following the telephone conversation, no contract exists.

Of course, nothing would have prevented APX from bringing additional paperwork to sign. In other instances with other consumers (as I have discovered in reading numerous accounts) they have done just that.

This raises a broader question: Is this company’s practice of using a written cancellation as an opportunity to further pursue a consumer predatory and does it violates the intent provided by FTC and state law granting consumers protection from being pressured into binding contracts in door-to-door sales?

APX has an “F” BBB rating with numerous consumer complaints (US and Canada), many negative news stories, and at least seven state investigations. Nearly all of these focus on complaints related to contract law.

I am not an attorney, but I am a college professor (in religion, of all things) capable of doing some research. I know anything I discover will be from a layman's viewpoint. But, I still believe the following are relevant:

I believe the broad protection afforded consumers by FTC and state law in the case of door-to-door solicitation recognize the unique vulnerability of the consumer to be persuaded by a salesperson into a contract. The three day right of cancellation, is intended to provide consumers with protection from point-of-sale decisions made under persuasion, manipulation, duress, or whatever.

I believe Utah Code 70C-5-102(4) (their state), as well as § 407.705 R.S.Mo. (2009) allows a three-day "cooling off" cancellation of contract in home solication sales to take any form.

I believe 237 F2d 488 Taran Distributing v. Ami establishes in federal court specific precedent that a written cancellation of contract cannot be reversed in a (acknowledged by both parties) telephone conversation unless the conversation involves "substantial manifestations of firm oral undertakings between intelligent business men." In that particular case, although involving oral statements made by a company president, the court held the oral reversal was wholly invalid and upheld a lower court judge's directed jury verdict.

I also believe the alarm company, in effect, is claiming the telephone conversation created an oral contract. However, 996 F2d 1220 Ziolkowski v. Caterpillar Incorporated sets forth clear and high standards for oral contracts to be legal and binding. In part: "An oral contract cannot be binding and enforceable unless the basic contract terms and requirements are definite and certain." Further (paraphrasing), both parties must both understand the nature of the contract and both must intend a binding contract is being made. Lacking that, such oral statements were, in that decision, only "an agreement to make an agreement" and created no contract absent a later written agreement.

I believe the telephone consent can only be understood, as just noted, as an agreement to make an agreement. In this particular case, the contextual intention of the consumer must reasonably be understood as agreeing to make an agreement when and if the (at that moment) the future and yet unseen changes satisfied the consumer. To suggest otherwise would suggest a consumer knowingly establishes an unbreakable 5-year contract for service/equipment not yet present or evaluated. In non-legal language, that's crazy.

We feel powerless and overwhelmed. We paid them less than $300. So, I know small claims might seem a first step. But, we have been assured initiating an action in local small claims will only result in the company demanding Utah jurisdiction (which they insist will be honored) and suing us in a higher (requiring an attorney) Utah state court. The costs of such a case would, in themselves, bury us.

Is there anyone who can help us? We only know that we are desperate and do not know where else to turn.

Beyond just us:

The complaints are numerous, the BBB rating is dismal, but the overwhelming size (large and growing) and resources of APX and the fact it (for everyone except residents of Utah) is out of state, allows such practices without (from what I have found) review, restraint, or penalty. We are like a flea pushing against an elephant. To make it worse, the high profits gained by such practices only serve to increase their power over consumers. Win/win for them.

I know this is not a personal injury situation or product liability case, there still may be grounds to justify the costs of a class action. Just review the number and types of negative news stories, complaints, fraud allegations, and contract disputes with APX Alarm over the past year or two. I assume those on the net are just a small percentage.

While we’d like to just have our own case resolved (I’m tired of seeing my wife brought to tears by people shouting at her over the telephone), it may be that nothing less than significant punitive penalty would get their attention – and the attention of other home alarm sales companies tempted by the profits such practices have garnered this company.

It's MY snake

littlerat101 — Sun, 04 Oct 2009 10:37:48 GMT

Ok, so I bought this ball python snake 3 months ago. I ordered a male, albino snake. It was shipped to me in perfect health and I have been caring for it. As it turns out the person I bought it from sent me a female instead. (In the snake world females are worth more money than males).

He now wants me to send the snake that I have been caring for back so that he can send me the male! Must I? or can I keep the snake I have?

Thanks!

Employee Agreement - expiration?

Joolz — Thu, 01 Oct 2009 20:08:02 GMT

I am a UK citizen but a permanent legal resident in the US and have been working for the same employer for almost 5 years.

When I commenced employment I was asked to sign an 'Employee Agreement' which was renewed on an annual basis. However, this year I have received notification that the company wishes to simplify the proceedure and remove the need for the renewable agreement and in future just post all changes to policy/proceedure etc on the company's intranet site for all to view.

They have asked me to sign a document agreeing to the expiration of the employee agreement - am I losing any rights by doing this and if so what am I putting in jepardy?

Your advice will be highly appreciated.

Employment Contract Null and Void if.......?

Tobey1 — Fri, 02 Oct 2009 05:44:35 GMT

For over a month I have worked with a man who owns a Caricature business. He provided me a contract saying that I will not compete against him in any area that he himself has set up in while under the contract even after I get fired.

He recently fired me in an unfair manner and told me he doesn't care if I work my own business away from downtown San Antonio.

As far as I've gathered, for over the 20 years he has been working in this bussiness, he had people who worked for him start their own businesses after they were fired or during their employment with him.

So for 2 years the contract states I can't compete against him until August 2011.

But, I have heard from a fellow classmate of mine, who also knows my previous employer on a personal level, that I don't have to honor the contract if he hasn't paid me $500 to leave. He told me if he hasn't, I can create my own business without getting sued and having to pay $15,000 worth of damages as the contract stated.

My question is "Did he tell me the truth?" I beleive him because he himself is a business owner and would not lie to me for personal gain or to make me look like a fool. But, I want to be absolutely sure that I can start my own business without getting in trouble for it.

Is the contract not valid because my contracting employer didn't provide me that $500 he was supposed to give me as stated by Texas Law?

Or do I have to legally abide by it no matter if he provided the $500 or not?