That looks like it relates exclusively to patents (given the invention language). In any event, California law doesn't govern employment contracts / quasi-contracts entered into in another state.
If you were to 'trial' an employee who had signed a copyright assignment agreement with his current employer in a state where such agreements are enforceable, the prior employer would have a colorable argument that it owned any code written during that week.* If the employee had signed an agreement containing an "anti-moonlighting" provision, again in a state where such provisions are enforceable, the prior employer would have a cause of action against the employee for breach of contract and possibly against your company for tortious interference with a contract.
As I say in the sibling comment, I really think you should talk to your lawyer about this, particularly since the policy is now been subject to a fair amount of publicity that a disgruntled ex-employer might reasonably come across. Although I don't like your hiring policy, I have nothing against your company and would hate to read in a few months that you are bogged down in litigation.
*Federal courts have exclusive jurisdiction over copyright actions, but will apply substantive state law in interpreting and applying contracts. Which state's laws can be complicated, but the most likely one is where the employment took place.
If you were to 'trial' an employee who had signed a copyright assignment agreement with his current employer in a state where such agreements are enforceable, the prior employer would have a colorable argument that it owned any code written during that week.* If the employee had signed an agreement containing an "anti-moonlighting" provision, again in a state where such provisions are enforceable, the prior employer would have a cause of action against the employee for breach of contract and possibly against your company for tortious interference with a contract.
As I say in the sibling comment, I really think you should talk to your lawyer about this, particularly since the policy is now been subject to a fair amount of publicity that a disgruntled ex-employer might reasonably come across. Although I don't like your hiring policy, I have nothing against your company and would hate to read in a few months that you are bogged down in litigation.
*Federal courts have exclusive jurisdiction over copyright actions, but will apply substantive state law in interpreting and applying contracts. Which state's laws can be complicated, but the most likely one is where the employment took place.