Work contract
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shocker-z

Original Poster:

554 posts

249 months

Monday 10th September 2007
quotequote all
Hi,

I work for an IT company called Prima IT (only named company in my contract) and they have been brought out by Pronet Computers (before i started).

I have applied for a job which is with a client who have a contract with Pronet Computers and they cancelled their contract with Pronet Computers 3 month ago, they are no longer a client of Pronet Computers after December this year.

My contract with Prima IT states that i can't work for any client of Prima IT (Pronet Computers is not mentions ANYWHERE in my contract)

My workplace have said that if i move to this client then they will take legal action against myself.

How do i stand as i'm part of a seperate entity inside the 2 companys?

All advice welcome and thank you for reading through.

Regards
Liam Wheldon

shuvitupya

3,340 posts

248 months

Monday 10th September 2007
quotequote all
I am not a legal expert, but I would guess you are now employed by Pronet Computers, regardless of not having an updated employee contract with new employers name.

Pronet Computers would presumably have taken on all existing staff, retaining existing Prima IT contract terms and conditions.





JustinP1

13,363 posts

261 months

Monday 10th September 2007
quotequote all
I would have to disagree with the above post as I think there is the assumption made that the parent company has 'absorbed' all of the employees and integrated them into the same business.

As far as I can see, and the contract states, you are an employee of the 'child' company. It doesnt legally matter who owns the company.

Indeed, further fuel to this argument is that fact that ownership was made before your contract was formed.

You are not an employee of the parent company at all, so why should you be liable to conditions outside of your contract as if you were!?

Indeed, should the child company get bought or indeed go bust I am sure that if you claimed that it is indeed the parent company who *actually* employs you despite what your contract says, and thus they should still pay you they would laugh!!!

The chances of them attempting legal action is slim. It would be time consuming and expensive for them. From what I can see from what you have stated, even if they did investigate the possibility they would realise their case is fatally flawed.

Go for it. Sticking up two fingers on the way out over this is optional.


shocker-z

Original Poster:

554 posts

249 months

Monday 10th September 2007
quotequote all
I started working their a year after they took over Prima IT so i initialy thought i would be under a Pronet Computers contract but I'm not! i'm even paid by Prima IT.

Are their any free advise numbers anyone has? has a quick cock-a-google but just found few forums but no definitive numbers.

I thought about citizens Advice as i thought they were a call center but infact they are by appointment at centres and i dont have the time to go.

Thanks for you advice

Kind Regards
Liam

JustinP1

13,363 posts

261 months

Monday 10th September 2007
quotequote all
shocker-z said:
I started working their a year after they took over Prima IT so i initialy thought i would be under a Pronet Computers contract but I'm not! i'm even paid by Prima IT.

Are their any free advise numbers anyone has? has a quick cock-a-google but just found few forums but no definitive numbers.

I thought about citizens Advice as i thought they were a call center but infact they are by appointment at centres and i dont have the time to go.

Thanks for you advice

Kind Regards
Liam
If you are under contract to Prima IT, and they pay you then that as they say is that!

They are really clutching at straws. These type of clauses are hard enough to enforce as it is, without the issues you have bought forward.

Of course, if your contract stated you could not work for a client of Prima IT AND the parent company then they would have you bang to rights... they may have *possibly* had the legal right to be able to enforce this, but the fact is they didn't put this in the contract and it shocks me why on earth they are taking the view they are.

Have they still maintained the view that they will take action after you enformed them of your 'case' with regard to the contract?

Either way, and to avoid solicitors etc, I would put my case in writing.

That is to inform your manager that you wish to leave and take up alternative employment. You have heard (verbally I guess) that legal action would be taken against you. You have taken offence to this as you believe you legally are not doing anything wrong. Ask them to put their grievance in writing in the next seven days so that you can seek legal advice.

You wont hear anything and you have covered your arse either way.

I think it is a case of sour grapes, but to be frank, they write the contracts as they want, you just have the option of signing it, if their contract is not what they actually wanted in the first place, then tough tits!

havoc

33,496 posts

266 months

Tuesday 11th September 2007
quotequote all
JustinP1 said:
They are really clutching at straws. These type of clauses are hard enough to enforce as it is, without the issues you have bought forward.
Agreed.

If they didn't bother to change your contract then it's tough on them.

And Justin's right...even if you're in a customer-facing role these clauses are notoriously difficult to enforce...the worst they can do (realistically) is put someone on 6 months notice and chuck 'em out on garden leave...and even there extended notice periods can be questioned in a court...


The downside for you, of course, is that you may not get a reference, or at least not an exceptional one. Might be worth a (carefully planned) conversation with the guy who'll be your new boss, explain to him what's happening.

mouseymousey

2,642 posts

268 months

Tuesday 11th September 2007
quotequote all
Depending on your position within the company I very much doubt they would bother taking legal action, it is just a threat. As has been said, these clauses are always hard to enforce and if you're anything below a senior manager type position, or in a position where you know lots of company 'secrets', then it's highly unlikey they will bother with the cost and hassles of legal action.

I've had similiar issues myself within IT and nothing bad has ever come of it.

burwoodman

18,718 posts

277 months

Tuesday 11th September 2007
quotequote all
Unfair restraint of trade. unenforceable-tell them to FRO. Seek legal advice and they will advise but resyraint of trade is frowned upon and even when granted some decent money must be paid by the company to you

tigger1

8,478 posts

252 months

Tuesday 11th September 2007
quotequote all
What is your notice period?

If you have only just applied for a job there, and they are no longer a customer from January, then 3 months notice would mean you are not moving to a customer...

IF you are offered the role, explain to the new place, see if you can start in Jan, and then just give your current place notice to leave in December

scissorhands83

4,129 posts

266 months

Tuesday 11th September 2007
quotequote all
Hi im Liams Brother, i had a similar problem in the past when working for a company that, stated in my contract i could not work at another hairdressers with in a 1 mile radious, and i could not take any clients with me, but this would have ruled out all of nottingham city center, so i rang ACAS who said that the law does not up hold the 'poaching of clients' so i told em to go purchase a packet of paxo.
As liam was asked if he would like a job surely he is not in default of his contract as he was given an invertation to work, and surely the contracted company are in default of their contract, becase it must state that the said company will take on the contracted companys staff!!

matt

Jules360

1,949 posts

233 months

Tuesday 11th September 2007
quotequote all
scissorhands83 said:
he was given an invertation to work, matt
they turned him upside down ?

scissorhands83

4,129 posts

266 months

Tuesday 11th September 2007
quotequote all
ok ignore my speeling

JustinP1

13,363 posts

261 months

Tuesday 11th September 2007
quotequote all
scissorhands83 said:
ok ignore my speeling
I bet its tough typing with those blades instead of fingernails!?

scissorhands83

4,129 posts

266 months

Tuesday 11th September 2007
quotequote all
hehe well im now not a hairdresser, now working at a letting agency as a negotiator, but cant think what to change my login to??? any ideas?

JustinP1

13,363 posts

261 months

Tuesday 11th September 2007
quotequote all
scissorhands83 said:
hehe well im now not a hairdresser, now working at a letting agency as a negotiator, but cant think what to change my login to??? any ideas?
Negotiator83?

As a funny sideline when I first met my girlfriend she didn't ask why when my PCs booted up they came up with the name 'Administrator' (for those who don't know this is like a default setting for the owner of the network or PC).

She thought it was like a geeky nickname I have created for myself.....!

scissorhands83

4,129 posts

266 months

Tuesday 11th September 2007
quotequote all
JustinP1 said:
scissorhands83 said:
hehe well im now not a hairdresser, now working at a letting agency as a negotiator, but cant think what to change my login to??? any ideas?
Negotiator83?

As a funny sideline when I first met my girlfriend she didn't ask why when my PCs booted up they came up with the name 'Administrator' (for those who don't know this is like a default setting for the owner of the network or PC).

She thought it was like a geeky nickname I have created for myself.....!
roflroflroflrofl

Edited by scissorhands83 on Tuesday 11th September 15:48

shocker-z

Original Poster:

554 posts

249 months

Tuesday 11th September 2007
quotequote all
Thanks for the advice..

I never thought of phoning ACAS will give them a call first thing tomorow smile

I was advised of the job being on their website (few weeks ago) after they had given cancelation notice (3 months ago when they cancelled)

Will see what ACAS say..

regards
Liam

shack55

78 posts

252 months

Tuesday 11th September 2007
quotequote all
shocker-z said:
My contract with Prima IT states that i can't work for any client of Prima IT (Pronet Computers is not mentions ANYWHERE in my contract)

My workplace have said that if i move to this client then they will take legal action against myself.
The restriction is far too wide to be reasonable and most certainly will not be upheld even though you have signed up to it, take your new job and tell them the restriction is unreasonable if and only if they try to use it against you, otherwise don't tell your present employer anything about where you intend to work, you don't have to and quite frankly its got nothing to do with them anyway.

Edited by shack55 on Tuesday 11th September 21:34

scissorhands83

4,129 posts

266 months

Tuesday 11th September 2007
quotequote all
shocker-z said:
I never thought of phoning ACAS
now you understand what big brithers are for!!! giving good sound advise like this!!
matt






ps


Mum has has just watched me type this, and she said that she told you to goto ACAS last week and you dont listen!!! rofl

Edited by scissorhands83 on Tuesday 11th September 21:48

JustinP1

13,363 posts

261 months

Tuesday 11th September 2007
quotequote all
shack55 said:
shocker-z said:
My contract with Prima IT states that i can't work for any client of Prima IT (Pronet Computers is not mentions ANYWHERE in my contract)

My workplace have said that if i move to this client then they will take legal action against myself.
The restriction is far too wide to be reasonable and most certainly will not be upheld even though you have signed up to it, take your new job and tell them the restriction is unreasonable if and only if they try to use it against you, otherwise don't tell your present employer anything about where you intend to work, you don't have to and quite frankly its got nothing to do with them anyway.

Edited by shack55 on Tuesday 11th September 21:34
There is something even more fundamental than that - who the OP is going to work for is not a client of Prima IT anyway, regardless of whether the restriction could be enforced!