What are my rights regarding a breach of contract?

UPDATED: Sep 30, 2022

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Sep 30, 2022Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

What are my rights regarding a breach of contract?

I had a former employee who signed an agreement stating that they would not sell a product of similar service to the one he was selling while working at my company, for at least 6 months after being terminated from our company. It turns out that right after he was terminated, he went to work for another company, and began selling the same product he was selling while working for us. I was going to let this slide, but the former employee also began divulging trade secrets to the other company, and began marketing the product to businesses that we had working relationships with. He has not stopped,despite warnings from us, and he still is marketing the products to businesses we work with. What kind of damages can I sue him for? Can I sue him for an estimated money had made the whole time while marketing the product, the money we believe he made selling in these businesses, etc.?

Asked on July 13, 2016 under Employment Labor Law, New Mexico


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 6 years ago | Contributor

Yes, if he violated a post-employment agreement, such as a non-compete, non-solicitation, etc. agreement, you can sue him for breach of contract: typically, you would sue for either the profit made by him or his employer due to the breach (though you can only sue him: his new employer was not a party to or bound by the agreement) or the losses yiu can show you otherwise incurred. You can also sue him for misappropriation of trade secrets or proprietary business information, if you can show that he divulged confidential (i.e. not generally or publically known) information which he only had by dint of his employment and only for purposes of his work for you.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption