Legal News

Jimmy John’s Sued for Imposing Restrictive Non-Compete Agreements
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

jimmy-johns

A Jimmy John’s storefront. Photo courtesy of Arlnow.

Summary: The Illinois Attorney General is suing Jimmy John’s for making low-wage employees sign non-compete agreements.

Illinois Attorney General Lisa Madigan isn’t a fan of Jimmy John’s. At least not their business practices. On Wednesday, she filed a lawsuit against the corporate office for allegedly forcing unfair non-compete agreements on all employees, including low-wage sandwich makers and delivery drivers.

  
What
Where


ABC 7 reports that Jimmy John’s requires workers to sign a restrictive non-compete clause as a condition of employment. This agreement restricts them from working at another sandwich shop during and two years after their employment. The terms outline that employees cannot work at sandwich stores within two or three miles of any Jimmy John’s stores nationwide. In Illinois alone, there are 300 locations.

“Preventing employees from seeking employment with a competitor is unfair to Illinois workers and bad for Illinois businesses,” Madigan said in a statement. “By locking low-wage workers into their jobs and prohibiting them from seeking better paying jobs elsewhere, the companies have no reason to increase their wages or benefits.”

AG Madigan said the non-compete is illegal and unenforceable in Illinois. She is seeking a judgment that declares the agreements void and rescinded. In response to the lawsuit, Jimmy John’s stated that they have never enforced their non-compete clause.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!




“We were disappointed to learn of the Illinois Attorney General’s filing this afternoon,” Jimmy John’s said in a statement. “The Attorney General’s Office approached us in September 2015 to discuss concerns that it had about the use of non-compete agreements in Jimmy John’s stores, and we were nothing but cooperative and transparent throughout the process.”

Jimmy John’s stated that after their 2015 meeting they offered to have the CEO sign a declaration of voidance of the non-compete clause and that those agreements had been removed from new hire paperwork. They stated that any recent non-compete clauses given were administrative errors.



What do you think about non-compete agreements? Let us know in the comments below.

Source: ABC 7



 

Interesting Legal Sites You May Like


BCG FEATURED JOB

Locations:

Keyword:



Search Now

General Municipal Law Attorney with land use experience

USA-CA-Oakland

Oakland office of our client seeks general municipal law attorney with experience advising public ag...

Apply Now

Mid-level Restructuring Attorney with bankruptcy experience

USA-DC-Washington

Washington, D.C. office of our client seeks mid-level restructuring attorney with 4-6 years of exper...

Apply Now

Senior Land Use Attorney with experience

USA-CA-San Francisco

San Francisco office of our client seeks senior land use attorney with 7+ years of experience. The c...

Apply Now

Attorney with 3-5 years of civil litigation experience

USA-IN-Merrillville

Merrillville office of our client seeks attorney with preferably 3-5 years of civil litigation exper...

Apply Now

RELEVANT JOBS

Associate Level Litigation Attorney

USA-SC-Mount Pleasant

Small law firm in Mt. Pleasant, SC seeking associate level litigation attorney with 1-4 years of exp...

Apply now

Legal Associate

USA-TX-Dallas

We are seeking a Legal Associate to become a part of our team! You will provide overall support to a...

Apply now

ISO MID-LEVEL ASSOCIATE FOR BOUTIQUE INTERNATIONAL TRANSACTIONS FIRM

USA-DC-Washington

Successful boutique law firm based in Washington, D.C. seeks mid-level associate to support its cros...

Apply now

Legal Clerk

USA-NY-Rochester

Duties and Responsibilities: Draft miscellaneous documents needed throughout the foreclosure p...

Apply now

Most Popular

SEARCH IN ARCHIVE

To Top