Can an Employee offer lower cost services, similar but different as their Employer?
I am a Bankruptcy Paralegal for a firm that handles Criminal Defense and Bankruptcy Law. I would like to do a little side work as a Petition Preparer and offer individuals a lower cost option. I cannot offer legal advice or complete the process like an Attorney can, although I can draft all legal documents concerning the Bankruptcy for a small fee.
I have never signed anything with my employer as to side work.
Could they sue me if they found out? Fire me??
Just to clarify.
There has been no compete contract signed. The firm is a small firm, husband & wife, who are not very professional. If I lost my job I would be okay, considering taking a new position as is. I am not looking to take clients from the database nothing of that nature.
I am considering placing flyers out for Bankruptcy Options at lower cost. No Legal Advice.
My main concern is if I start this prior to taking a new position in a completely different field of law, could they sue me.

July 13th, 2008 at 12:18 pm
I’ll be they would be very unhappy about it. They can fire you any time if you’re an “at will” employee with no contract.
July 15th, 2008 at 12:53 am
It depends on your company policy, but it seems to be a clearcut situation of conflict of interest.
July 18th, 2008 at 11:25 am
They may not be able to take legal action against you, but they can certainly fire you. And they probably would. This is not something I would recommend you do. If your employer is paying you, then you should play for their team. They are paying for your services and your loyalty. If you think you can do better on your own, then quit and open your own business.
July 19th, 2008 at 9:23 am
I am not a lawyer…but…
I’d think as long as you’re not doing it on work time and you haven’t signed a non-compete clause, there shouldn’t be a problem with it.
However, you really should speak to a lawyer about it.
July 23rd, 2008 at 5:23 pm
Of course they could fire you, and they would have good reason to. What you want to do is unethical, to say the least. And since you work for attorneys, they would most certainly sue you.
July 24th, 2008 at 7:03 pm
I wouldn’t do it – lawyers are a nasty bunch if they find out that you are cutting into their fees. It is also a conflict of interest – you’re risking your job.
July 25th, 2008 at 12:36 pm
It’s not fair.
July 26th, 2008 at 6:06 pm
Oftentimes, when you are employed you sign an agreement to not compete but if you haven’t then technically you can. however, I don’t believe that it is prudent if you mean by taking clients from their client base–this could lead to you loosing your job.
July 29th, 2008 at 1:31 pm
Doing what you’re planning may not be illegal, but it is unethical. I would recommend one of two courses of action:
1. Be upfront with your current employers. Tell them what you would like to do and ask them for their advice and their concurrence in your plans. If, like you say, this would not be taking any business away from them, they should not have a problem with your plans. This would be your preferred course of action if you would like to remain with your current employers.
2. If this is out of the question, then I would recommend that you delay your side business until you have moved to a different job. You indicate that you are considering moving on to another firm even now. However, if your new job is similar to your current one, be sure to have an agreement with your new employer concerning your side business before you begin.