Abedeen7
Assistant Manager Human Resources
M.Sayeed
Procurements
+2 Others

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Dear Seniors,
I am searching for a clause to be mentioned in appointment letter which prohibits an employee to join the company's competitors for a specific period after separation from the company.
Kindly help in this regard.
Regards,
Wahida Shah

From India, Mumbai
Please be advice to read below discussion (Link) where this topic discuss earleir here in CiteHR..

https://www.citehr.com/343871-restri...ompetitor.html

Later, go thro below some points, I found on internet.

THE CLAUSE IN MY APPOINTMENT LETTER

The Employee shall not at any time during or for a period of three (3) years after the termination of his/her employment with the Company for any reason whatsoever by himself/herself, his/her spouse, next of kin, servant or agent, commence, operate, carry on in any manner whatsoever any business or franchise business of (Your Business item/Name), nor shall he/she work for any competitors of the Company and its associate companies.

CONFLICT OF INTEREST:

DURING THE COURSE OF YOUR EMPLOYMENT WITH OUR COMPANY YOU WILL NOT ENGAGE YOURSELF DIRECTLY OR INDIRECTLY IN ANY PROFESSIONAL OR PERSONAL ACTIVITY WHICH MIGHT BE CONSIDERED PREJUDICIAL AND DETRIMENTAL TO THE LAWFUL INTEREST OF THE COMPANY I.E. ITS INTELLECTUAL PROPERTY RIGHTS, SYSTEMS, PROCESSES, TRADE SECRETS, ANYTHING MENTIONED IN ITS MEMORANDUM OR ARTICLES OF ASSOCIATION OR OTHERWISE CONSIDERED TO BE CONFLICT OF INTEREST IN THIS REGARD. THE EMPLOYEE SHALL AT ALL TIME KEEP COMPANY DULY INFORMED IN WRITING AT ALL TIMES AND IN THE EVENTUALITY OF FAILURE TO DO SO THE COMPANY SHALL BE AT LIBERTY TO PROCEED AGAINST SUCH EMPLOYEE BY INITIATING AND PROSECUTING SUCH CIVIL AND CRIMINAL ACTION AS MAY BE DEEMED FIT AND PROPER INCLUDING SEEKING INDEMNITY AND DAMAGES.

Thanks

From Kuwait, Hawalli
Rightly mentioned by Mr. Sayeed.
My Views: In the first sentence, in place of "Termination" word, we should use "separation".
Reason:
Termination of services is forceful and separation is volunteer..
Regards
Shuchi Punjani

From India, Delhi
Dear Shuchi, Termination of employment can either side employee (volunteer) or employer (forceful). Hope this may help you.
From India, Bhubaneswar
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