What does one do this?

Nov 5, 2007

  1. jman1237
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    jman1237 Expert

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    Restrictive Covenant:
    While this Agreement is in effect, and for the longer of a 5 year period thereafter or the period in which the agent is receiving renewal commissions.
    Agent will not use his knowledge of xxxx's insurer's business for the benefit of himself or any other person , nor divulge to others information relating to xxxx's or insurer's business affairs, including but not limited to , the names of customer, the names of employees, number or character of policies and prices, and the terms and particulars of xxxx's insurer's business and keep confidential his knowledge of such business's affairs acquired while engaged by xxxx.
    All insurance business procured under this agreement becomes the property of xxxx and of the insure. Agent shall not personally, nor indirectly through any other person in anyway cause unrest o nor divert, rewrite, or switch any of the policy holders obtained hereunder to any other representative of or to any other insurance company.
    If If Agent violated this section all renewal commissions which would otherwise accrue or best to agent shall be forfeited as liquidated damages provided however that is agreed that the there is no adequate legal remedy available to xxxx and thus in addition to liquidated damages injunctive proceedings and/or an action for damages may be commenced to enforce the provisions of this agreement with all costs of said proceedings, including reasonable attorneys fees to be paid by agent.
    :arghh::arghh::goofy::goofy:
     
  2. Mr. Bill
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    Mr. Bill Guru

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    Don't follow whether you have a question or not,

    but I can tell you that just because it is "written" doesn't mean it's enforceable.

    Not in my state!
     
  3. Cenla Agent
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    Cenla Agent Guru

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    What company is this?

    Some companies include such language knowing it may not be enforceable but also typically include language stating that if one provision of the contract is deemed unenforceable that it doesn't invalidate the rest and basically going for the maximum enforceable by law in that particular jurisdiction.
     
  4. task
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    task New Member

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    My understanding of this is you will not take current clients but it looks like you are free to pursue others. Also if one of your current clients found out you left and they swithced insurance companines and then called you.... I think you would have a good argument.

    Contracts are only as good as the judge you are in front of and the money you have to fight. I believe in most states a non-compete clause can't be so restrictive that it foces your out of your profession. A non-compete clause should protect the current company's situation and no more. Anything more than this and they would have a hard time in court proving it is necessary.:radar:
     
    task, Nov 6, 2007
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  5. jman1237
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    jman1237 Expert

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    The question is I signed this (like a dumb ass) without reading it thouroughly.
    Now I want these clients (not many, couple hundred) They pushed the papers in front of me told me to hurry, we had to get through Part D training.
    Now a bunch of old MAPDs have to get lost to other agents. Believe me they won't stick, the 06 0premium humana.
     
  6. Cenla Agent
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    Is this a contract with Humana or one with some FMO, MGA, etc?
     
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