Change of Company

[Carrie Ho]

I am currently in the sales line and i found a better job offer which is similar to what I'm doing now. But in the contract of my work now i found a clause stating that i can not do a similar job after i resign within 6 months. But i really want the other job badly. Any suggestions?

[Saint]

These clauses are virtually impossible to enforce unless your present company are willing to put you on gardening leave!

[Carrie Ho]

er... Im sorry, so does that mean I can join the new company?

[ksl]

er... Im sorry, so does that mean I can join the new company?

You can but there is a risk the Company takes you to court, if you are working for a competitor. identical product line.

If the product line is not identical, I would say take the new job, most courts would look at these problems on a case by case scenario.

The company you are employed with are attempting to protect their own interest, like customer base and business practise. The likelihood of you causing them any loss, is probably insignificant, unless you steal all their customer details, in that case, you may have a problem.

I would just apply for the other job, if your pass allows you too. Like saint says it can be difficult to enforce, unless their is a substantial loss.

I have known it to happen here in Singapore, were employees have been trained up, in manufacturing specialty foods, with secret ingredients, only to resign and start their own manufacturing business, taking some customers with them. You can imagine the conspiracy if 3 employees resign to do their own business, with the secrets of another company.

In your case, take the job and don't worry! Your employer must prove a loss caused directly by you, not an easy task to prove.

[Saint]

Ksl has explained it very well, in the UK it's called a Restraint of Trade agreement.

I had one of these when working for a company in London Square mile. The period was the same as my notice period which was 3 months and it stated that I wasn't allowed to speak to any former employee or enter the Square Mile! Very standard clause in my market.

So when I handed my notice in I immediately had to leave the office and was paid to stay at home for 3 months, or gardening leave as it's know as

[sundaymorningstaple]

Just for the record, it's been tested here, and a client list is not suitable defense by an employer in a restraint of trade suit. The reason being is that all clients can be found in the yellow pages/phone book. If you have/had access to proprietary information about a product/recipe/formula/design then they do have a case to prosecute. This is especially so if it's a patented product. Usually non-compete clauses are either time based or area based (say a 300-500 kilometer circle). However, it's be also beaten down as you cannot prevent a man from making a living and if that person only knows one job, then he's actually got a good case against the company.

But most companies here use it just to try to scare the uninitiated.

[x9200]

I would just apply for the other job, if your pass allows you too.

And if not there may be a problem even if a new pass is granted. The old employer has to cancel the old pass first. Only when this is done you can get the new one to your hands.

[monday]

Hi Carrie Ho
Once I was in the same situation. I was brought by one organization for work as a Tutor but a after a year I couldn’t found that I’m right path so decided to move to different position in Singapore with International School as Teacher. Even I had the same condition in contract with my first employer (I had for 1 year I should not work in Singapore with competitor once I leave the job) once I resign job they almost threading me but I my position is teacher in International School which come under Ministry of Education with that point I made it very clear to them that schools are not competitor for them and somewhat I managed but another shock my new company also have the same terms. It’s most the practice in Singapore I guess.

I approached MOM, the reply is, it’s in between two parties so government won’t and can’t involve.

So Carrie Ho if your current employer want give you hard time they can legal action on you because you have signed the contract and only you there are some people in the same boat.

May give the proper and value able reason of resignation do not try to cheat them. Explain your situation your boss. Have possibility in get in to trouble. Hope everything will be already.

All the best for you.

Monday.