Hi,
I have recently quit a company and have joined a competition. But after a months time I have received a letter from the Previous Employer which states that I have breached the Non Solicitation Clause of My Appointment Letter stating the clause details.
They also advised me to refrain from the same.
Please advise do i have to answer this letter or what next step i need to take.
Regards,
Amit
From India, Pune
I have recently quit a company and have joined a competition. But after a months time I have received a letter from the Previous Employer which states that I have breached the Non Solicitation Clause of My Appointment Letter stating the clause details.
They also advised me to refrain from the same.
Please advise do i have to answer this letter or what next step i need to take.
Regards,
Amit
From India, Pune
Dear Mr. Amit,
It'd be great if you elucidate the clause details to perceive whether the indict is worthwhile. Moreover the basis of your question is feeble without any other details viz; your organization type, your role and department etc.
Also, let us know your terms of seperating with the company and your point of view for any of our seniors to suggest the point precisely.
Thanks!
From India, Visakhapatnam
It'd be great if you elucidate the clause details to perceive whether the indict is worthwhile. Moreover the basis of your question is feeble without any other details viz; your organization type, your role and department etc.
Also, let us know your terms of seperating with the company and your point of view for any of our seniors to suggest the point precisely.
Thanks!
From India, Visakhapatnam
Hello Amit,
As Sharmila Das mentioned, pl give more details about the Clause being referred to--for this aspect can differ from company to company.
Also, in-principle, the answer to your query ['....do i have to answer this letter'] is a BIG YES. If not, you stand the chance of they going legal & you spending time, effort & money on handling it. This is where some of the additional inputs Sharmila Das mentioned come-in.
But, prima facie, I think you DIDN'T do the right thing in joining a competitor--especially when you had a Non Solicitation Clause in your Offer/Appointment Letter. Pl let us know your logic/reason(s) for doing so. I only hope it's NOT 'nothing will happen' sort-of-thing.
Rgds,
TS
From India, Hyderabad
As Sharmila Das mentioned, pl give more details about the Clause being referred to--for this aspect can differ from company to company.
Also, in-principle, the answer to your query ['....do i have to answer this letter'] is a BIG YES. If not, you stand the chance of they going legal & you spending time, effort & money on handling it. This is where some of the additional inputs Sharmila Das mentioned come-in.
But, prima facie, I think you DIDN'T do the right thing in joining a competitor--especially when you had a Non Solicitation Clause in your Offer/Appointment Letter. Pl let us know your logic/reason(s) for doing so. I only hope it's NOT 'nothing will happen' sort-of-thing.
Rgds,
TS
From India, Hyderabad
Dear Amit,
The full text of "Non Solicitation clause" and other related clauses not provided here. However if it were to be 'omni bus' clause without restrictions like no.of years for joining any of their competitors, what if it is breached, what the separation clause says etc the same could be contested. We have to study whole documents before a meaningful opinion could be given.
kumar.s.
From India, Bangalore
The full text of "Non Solicitation clause" and other related clauses not provided here. However if it were to be 'omni bus' clause without restrictions like no.of years for joining any of their competitors, what if it is breached, what the separation clause says etc the same could be contested. We have to study whole documents before a meaningful opinion could be given.
kumar.s.
From India, Bangalore
A non solicitation clause in the appointment letter of an employee has little meaning
It is not likely to stand the scrutiny of courts of law
Any person working in a company is free to join any other company after he leaves.
Further, when he is working in the precious company he is meeting various people. No one can tell him you must not speak to these people again. It is against his fundamental right.
Misuse of trade secret would be a different matter. For example we have a non-disclosure agreements with our employees. The only time a non compete clause applies is if you have sold your business and have been paid not to compete.
You must take the help of your current employer to work around this in a way that the previous employer realises that going to court is a waste of time. Your current employer will support you as it affects his business.
From India, Mumbai
It is not likely to stand the scrutiny of courts of law
Any person working in a company is free to join any other company after he leaves.
Further, when he is working in the precious company he is meeting various people. No one can tell him you must not speak to these people again. It is against his fundamental right.
Misuse of trade secret would be a different matter. For example we have a non-disclosure agreements with our employees. The only time a non compete clause applies is if you have sold your business and have been paid not to compete.
You must take the help of your current employer to work around this in a way that the previous employer realises that going to court is a waste of time. Your current employer will support you as it affects his business.
From India, Mumbai
Law doesn\'t prohibits you from joining a rival co in the same industry & co wont pursue something which is still debatable even though there is a contract between you & co.It will not be unethical if you inform your clients that you have joined a rival co.But it will be unethical if you are pricing your products less because of your prev co pricing knowledge.Usually co take steps to re-quote old tenders.Non compete is usually seen in business not jobs.Non solicitation is enforceable but no co will hassle clients as clients have to give testimony in court so you can ignore the notice but i suggest please dont use copyrighted materials of prev co for furthering your task as that will be fraud & misuse of co material.
From India, Bangalore
From India, Bangalore
Hi,
In continuation of my query i would like to quote some text from the recieved letter as below:
“We would like to highlight in case of joining the above mentioned organisation, you would be breaching your obligations relating to Non Solicitation clause of your Appointment letter.
Clause 9 of you Appointment letter provides:
“Non solicitation: You shall not any time during the term of your employment with the company or thereafter, under any circumstances, directly or indirectly solicit the company’s and/or any of its subsidiaries and/or affiliates personnel to leave the employment of the company and/or any of its subsidiaries and/or affiliates or apply for employment with any third party or encourage such personnel of the company to take any action or inaction that may adversely impact the performance by the company of its obligations under this letter and/or any other contract adversely impact the ability of the company to carry out its normal business activities. You further agree that you shall not engage in soliciting business or allied business that is in any way similar, identical or competitive with the business, activities, services of the company, or with those customers of the company with whom you had any contact, during your employment with the company and for a period of one year after you employment ceases with the company.”
In view of the above, we would like to refrain that you shall not breach the obligations, including non-solicitation and confidentiality mentioned in you Appointment Letter for a period of one year after you employment ceases with the company.
Please be informed that this letter is without prejudice to any other rights/actions which the company may be entitled to under law.”
I was working a executive level at my prvious employment.
Please advice.
Aegards,
Amit
From India, Pune
In continuation of my query i would like to quote some text from the recieved letter as below:
“We would like to highlight in case of joining the above mentioned organisation, you would be breaching your obligations relating to Non Solicitation clause of your Appointment letter.
Clause 9 of you Appointment letter provides:
“Non solicitation: You shall not any time during the term of your employment with the company or thereafter, under any circumstances, directly or indirectly solicit the company’s and/or any of its subsidiaries and/or affiliates personnel to leave the employment of the company and/or any of its subsidiaries and/or affiliates or apply for employment with any third party or encourage such personnel of the company to take any action or inaction that may adversely impact the performance by the company of its obligations under this letter and/or any other contract adversely impact the ability of the company to carry out its normal business activities. You further agree that you shall not engage in soliciting business or allied business that is in any way similar, identical or competitive with the business, activities, services of the company, or with those customers of the company with whom you had any contact, during your employment with the company and for a period of one year after you employment ceases with the company.”
In view of the above, we would like to refrain that you shall not breach the obligations, including non-solicitation and confidentiality mentioned in you Appointment Letter for a period of one year after you employment ceases with the company.
Please be informed that this letter is without prejudice to any other rights/actions which the company may be entitled to under law.”
I was working a executive level at my prvious employment.
Please advice.
Aegards,
Amit
From India, Pune
Dear Amit,
I have seen such conditions in many of the companies apptt.letter issued to the employees. This condition is against the constitution of India and not enforceable as it's in violation of fundamental rights. Therefore don't worry. You can reply to this with the assistance of your present employer or an advocate.
kumar.s.
From India, Bangalore
I have seen such conditions in many of the companies apptt.letter issued to the employees. This condition is against the constitution of India and not enforceable as it's in violation of fundamental rights. Therefore don't worry. You can reply to this with the assistance of your present employer or an advocate.
kumar.s.
From India, Bangalore
Mr Amit & all others ;
Please read the SC judgement in the case Superintendence Co India (P) ltd Vs Krishna Murgai(AIR 1980 SC 1717),in which the court held that such restraining cl is against the Indian Contract Act.As such u can ignore the notices.You can join any firm of your choice .But you should not divulge confidential matters of your previous Co.
Varghese Mathew
9961266966
From India, Thiruvananthapuram
Please read the SC judgement in the case Superintendence Co India (P) ltd Vs Krishna Murgai(AIR 1980 SC 1717),in which the court held that such restraining cl is against the Indian Contract Act.As such u can ignore the notices.You can join any firm of your choice .But you should not divulge confidential matters of your previous Co.
Varghese Mathew
9961266966
From India, Thiruvananthapuram
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