I registered my LLC through an on-line site but I did it from work, will my employer have any rights tothe company?

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I registered my LLC through an on-line site but I did it from work, will my employer have any rights tothe company?

Does this mean that if my current employer was to come after me, that they might actually have the legal right in taking ownership of the company considering I used their laptop and internet while I was on the clock? Now, I know that I can’t create a company in the same business field as that violates the NDA that I signed. But, if the company I created is in a different category or is not in the related field that my current employer resides in, does that mean I’m still OK? Or did I end up wasting money and should purchase a new LLC at home?

Asked on July 6, 2011 under Employment Labor Law, California

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

Although I am sure that your boss would not be happy that you were doing something other than working, he or she has no claim to a company that you yourself created.  How the company relates to the non disclosure agreement that you signed (and non compete as well?) is something that is difficult to determine here because one would need to read the agreement and know al the facts about the company that you have formed and what the purpose of the company is - what you intend to use it for.  So you are the best judge of that at this point.  I would suggest, though, that you conduct your new business on your off hours.  Good luck to you.


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