Employment Law -Can they enforce this?
Employment Law -Can they enforce this?
Author
Discussion

Andy G Bmth

Original Poster:

5,132 posts

260 months

Friday 21st November 2008
quotequote all
Hi
I left my job as a office based sales manager for a roofing and solar company on 31/11/08 after serving out my required notice period. Yesterday i accepted a job at another solar company which followed by a phonecall from my previous company asking what i was doing as they had me followed!!!

i told them i would be accepting a job with them and they stated they had restrictive covenants in my contract saying i couldn't work for a competitor for a period of 6 months. i am pretty sure thus wasn't in my contract as it was introduced years after i had signed mine.

Worst case scenerio - can they get this enforced as there is no confidential information or clients that i can "poach" or "approach". i understand that these are not enforcable unless it proves it will affect the business of the company i have left. Being a sales/telesales manager selling a different type of solar panel (electric instead of hot water).

Are they just stirring it or can they actually enforce this?

many thanks for your help at this stressful time

Eric Mc

125,855 posts

296 months

Friday 21st November 2008
quotequote all
Andy G Bmth said:
Hi
I left my job as a office based sales manager for a roofing and solar company on 31/11/08 after serving out my required notice period. Yesterday i accepted a job at another solar company which followed by a phonecall from my previous company asking what i was doing as they had me followed!!!

i told them i would be accepting a job with them and they stated they had restrictive covenants in my contract saying i couldn't work for a competitor for a period of 6 months. i am pretty sure thus wasn't in my contract as it was introduced years after i had signed mine.

Worst case scenerio - can they get this enforced as there is no confidential information or clients that i can "poach" or "approach". i understand that these are not enforcable unless it proves it will affect the business of the company i have left. Being a sales/telesales manager selling a different type of solar panel (electric instead of hot water).

Are they just stirring it or can they actually enforce this?

many thanks for your help at this stressful time
Hmmm - no such date as 31 November 2008. And you mention the event as having happened in the past tense. We haven't reached the end of November 2008 yet.

Are you confused?

ukvoyager.info

2,782 posts

253 months

Friday 21st November 2008
quotequote all
Restrictive covenants are only enforceable if it is reasonable. A blanket statement saying "you cant work in retail anywhere in the world for 2 years" is unreasonable. "You cant work for company x, y or z for 3 months after leaving" might be considered reasonable.

Personally, I would go for it anyway. They have to prove "material loss" to make any claim against you anyway. Very hard to do that IMHO.

Soovy

35,829 posts

302 months

Friday 21st November 2008
quotequote all


Unlikely they can or would stop you.

Do NOT EVEN THINK ABOUT using any client lists or other cofidential information you have have "taken with you" though.

mondeoman

11,430 posts

297 months

Friday 21st November 2008
quotequote all
Dates are a tad messed up as Eric says..

However, restrictive covenants that can potentially stop you from earning are unenforceable, although they can make your life a bit awkward if they drag you through the courts.

You will have to be careful how you approach companies you have previously sold to.

If you have not signed a contract that has this clause in it, and your signed contract doesn't have a clause that allows the company to change the contract without your prior approval, then they are on a very sticky wicket

All usual disclaimers etc... apply.

Andy G Bmth

Original Poster:

5,132 posts

260 months

Friday 21st November 2008
quotequote all
Eric Mc said:
Andy G Bmth said:
Hi
I left my job as a office based sales manager for a roofing and solar company on 31/11/08 after serving out my required notice period. Yesterday i accepted a job at another solar company which followed by a phonecall from my previous company asking what i was doing as they had me followed!!!

i told them i would be accepting a job with them and they stated they had restrictive covenants in my contract saying i couldn't work for a competitor for a period of 6 months. i am pretty sure thus wasn't in my contract as it was introduced years after i had signed mine.

Worst case scenerio - can they get this enforced as there is no confidential information or clients that i can "poach" or "approach". i understand that these are not enforcable unless it proves it will affect the business of the company i have left. Being a sales/telesales manager selling a different type of solar panel (electric instead of hot water).

Are they just stirring it or can they actually enforce this?

many thanks for your help at this stressful time
Hmmm - no such date as 31 November 2008. And you mention the event as having happened in the past tense. We haven't reached the end of November 2008 yet.

Are you confused?
Sorry 31/10/08 smile

Andy G Bmth

Original Poster:

5,132 posts

260 months

Friday 21st November 2008
quotequote all
mondeoman said:
Dates are a tad messed up as Eric says..

However, restrictive covenants that can potentially stop you from earning are unenforceable, although they can make your life a bit awkward if they drag you through the courts.

You will have to be careful how you approach companies you have previously sold to.

If you have not signed a contract that has this clause in it, and your signed contract doesn't have a clause that allows the company to change the contract without your prior approval, then they are on a very sticky wicket

All usual disclaimers etc... apply.
It's residential sales from warm data that have enquired to the company, so there is no on-going contracts that i could take with me.

thanks for all the help

Andy

Eric Mc

125,855 posts

296 months

Friday 21st November 2008
quotequote all
Still dicey to take any such lists with you.

Andy G Bmth

Original Poster:

5,132 posts

260 months

Friday 21st November 2008
quotequote all
Eric Mc said:
Still dicey to take any such lists with you.
thats the point i was making - there is no lists to take and i certainly haven't taken any. i was with them for 6.5 years and helped them grow to where they are today so i wish them the best for the future but was time for me to move on.

Eric Mc

125,855 posts

296 months

Friday 21st November 2008
quotequote all
Andy G Bmth said:
Eric Mc said:
Still dicey to take any such lists with you.
thats the point i was making - there is no lists to take and i certainly haven't taken any. i was with them for 6.5 years and helped them grow to where they are today so i wish them the best for the future but was time for me to move on.
You just have to be careful. Working in the accounting profession I am well aware of the dangers of "poaching" clients. On the whole though, former employers find it virtually impossible to enforce any sort of restrictions on ex-employees. If you are discreet about things you may even have clients come to you totally "voluntarilly".

MartinM1

106 posts

233 months

Friday 21st November 2008
quotequote all
i tried enforcing such a covenant and failed miserably so go for it

JustinP1

13,363 posts

261 months

Saturday 22nd November 2008
quotequote all
The answer to your question is what your contract actually states.

To be honest this thread is useless as no-one can confirm either way without knowing that.

IMHO, if it is in your contract not to work for specifically another solar heating company within a certain radius, then you are pretty much bang to rights.

The kind of covenants which fail are the less specific ones. That said, this is pure and useless hypothesis without knowing the exact wording of your contract...

blackcab

1,259 posts

231 months

Sunday 23rd November 2008
quotequote all
restrictive practice covenants are impossible to enforce - but whatever info you have on customers products pricing etc is confidential to your previous employer and you plus your new employer can be in trouble if you use it not only in the 6 months but at anytime after that.


baguaman

335 posts

240 months

Monday 24th November 2008
quotequote all
there is a thread going elsewhere ..re wether you buy a car through the company..

and how do you offset the massive depreciation...

they say ..eric has alot of experience in tax matters..thats why i interupt/...

does any one know a good guy for tax matters particularly on this car issue...

superlightr

12,920 posts

294 months

Monday 24th November 2008
quotequote all
baguaman said:
there is a thread going elsewhere ..re wether you buy a car through the company..

and how do you offset the massive depreciation...

they say ..eric has alot of experience in tax matters..thats why i interupt/...

does any one know a good guy for tax matters particularly on this car issue...
ehhh??? stares at you strangly, sipps my coffee, slipped that one in quietly ...... are you as smooth with the ladies young man??

wink



Edited by superlightr on Monday 24th November 15:05