So unless any of the necessary bits are patented, I highly doubt an argument against them starting a new company will hold in the courts.
Sometimes the contracts can include a cool-down period before a person can seek employment in the same industry/niche, I don’t think that will apply in Sam’s case - as he was a founder.
Also - the wanting to get himself fired intentionally argument doesn’t have any substance. What will he gain from that? If anything, him leaving on his own terms sounds like a much stronger argument. I don’t buy the getting-fired-and-having-no-choice-but-to-start-an-AGI-company argument.
An interesting twist would be if he joins Elon in his pursuit. Pure speculation, sharing it just for amusement. I don’t think they’ll ever work together. Can’t have two people calling the shots at the top. Leaves employees confused and rarely ever works. Probably not very good for their own mental health either.
It's very difficult to enforce anything like this in California. They can pay him to not work, but can't just require it.
Someone else can probably say it better than I can, but that's how I understand it at this moment.