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Non compete clause inInstructor contract
I am a a fairly new instructor that has been free lancing privately. I am not certified but have been pole danceing for three years, active in fitness and yoga. I very active in learning new techniques both in movement and instruction, and I consider myself a knowldgeable and responcible teacher.
Recently I was offered a job with a new local pole studio. The contract states that I am an independent contractor (theres a whole paragraph about it). Although I may not seek other gainful employment offering the same services publicly or privately while employed by the studio. And a 1 year non compete of pole or lap dance instruction within 250 mile radius of business upon termination. (which was originally 2years) They also reserve the right to terminate me at any time without cause.
(I had the studio/person insert a clause releasing rights to control my solicitations, images, % of income, etc as a performer)
Although this person has added some things such as my rights to my performance business, I'm wondering if she can even require such things and still hire me as an IC.
This is a new studio looking for me to help build a clientele.
Opinions please,
I know… "get a lawyer" already looking into that
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7 Replies
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I do not beleive that she can even state the 250 mile radius as that imposes on interstate commerce. By stating that she is encompasing all of Louisiana, part of Florida, Alabama, Mississippi, and part of Texas. She cannot tell you that you cannot work in another state.
I know I pointed you to these threads last night but I am posting for others that may have a similar question:
https://www.studioveena.com/forums/view/4f0c67ac-db8c-40de-9238-20280ac37250
https://www.studioveena.com/forums/view/4edbad19-a5d8-414b-8cf4-1d270ac37250
https://www.studioveena.com/forums/view/4fb80cf9-ae04-4c24-94b4-1a4b0ac37250
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A non-compete contract can state anything the involved parties agree to. The question is what is enforceable.
In most states non-competes are fully enforceable while there is mutual benefit. That is to say, while you are being paid by the studio owner and she is receiving your educational resources.
Where non-competes break down is upon termination of the relationship. Courts have generally found that these clauses imposing a time limit before you can practice your skill again are unenforceable unless there is mutual benefit during that time.
For example, if the contract were to read that in exchange for your agreement not to compete the studio would pay you $1000/month during your non-competition period, it would be enforceable. However since you receive no benefit during the non-compete period they couldn't enforce it.
A brief conversation with an employment lawyer in your area should confirm this, as well as what the process is for dealing with it.
In most states you simply ignore these time based clauses as the employer will not spend any money taking you to court because they can't win.
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Webbie is correct. If you leave the position you still have to make a living. I signed a non-complete paper back in the day when I was a hairdresser. I worked for a very upscale salon, but ended up leaving. I got another job about 10 miles away, then knew it and never did anything about it. I am sure it would have cost them thousands of dollars in lawyer fees to try to make me quit. Plus this was my profession, what did they expect me to do? I really wouldn't be that worried about it.
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I would NOT sign a contract that you are not in 100% agreement with the terms.
I worked at a salon and spa (I'm a massage therapist) that requires their hairstylists to sign a 3 year contract with a non-compete (it also included on the job training costs) and the owner has sued multiple stylists and won judgements against them.
As an independent contractor they are not supposed to tell you when to teach, what to teach, or how to teach. Also, you should be allowed to teach anywhere you want.
If not, they should be hiring you as an employee.
Ask about insurance too – my coverage will not cover IC who work for my company – they need to provide their own coverage. Employees are covered though.
So just a fair warning from my point of view, if you don't like the terms ask to change them, or don't agree to work for that company.
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They just want to put imaginery chains on you, unless they pay you the big bucks, wich i doubt , then do what you want
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if a place is giving u free education or on the job training, then that’s another story….I know many hospitals around here will pay for college and hold u to working for them as a nurse for a few years. if u decide to leave for a different hospital, they will b successful in court and win.
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I have seen the contract and there is a section in there regarding paying for training, so I do not think it would be free. Also, Satine has been in this game I think for 3 years and was teaching in NOLA at a small studio but it did not take off, so the only thing they would be teaching her is their way of pregressing and structuring class. But again, if they are training and making her follow guidelines then she is NOT by law considered an independent contractor. However if she signs the contract knowing full well that is the case she still signed something agreeing to their terms and that can be upheld in court. I will also add that she is a well known performer in NOLA and she had to have the contract adjusted because it states that she cannot perform without it being contracted through the studio. They also have a clause in there that entitles them to a cetrain percentage of her payment.
The whole thing stinks to high heaven and I am really shocked that they have instructors who have signed this.
But also as one person on FB stated, imagine if this was a contract that a guy gave to you before you started dating. At least you knew up front to run as far and as fast as you could.
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