Restrictive Covenants Explained - An expert answers the key questions

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  • Опубликовано: 11 сен 2024

Комментарии • 15

  • @dulonahmed5062
    @dulonahmed5062 4 месяца назад

    Thank you for this.
    I'm going through a situation that you have described, having decided to leave for a competitor.

  • @muramasa2643
    @muramasa2643 11 месяцев назад +1

    The question is, can I ignore the covenant?

    • @bazmina
      @bazmina 11 месяцев назад

      Dependent on what level you are at. If you are a trainee or base level recruiter I wouldn't be hugely concerned. If you're a manager or principal then I'd be cautious

  • @OneMwataK
    @OneMwataK Год назад +1

    There was no non compete in my employment contract. But now, as a condition of me receiving my last salary, my employer wants me to sign a non compete. Is that legal?

    • @bazmina
      @bazmina Год назад

      If you sign you agree to it. If you don't, and you don't have to, it could cause some discomfort with your employers. Your call but you don't need to sign it legally.

    • @OneMwataK
      @OneMwataK Год назад +1

      @@bazmina Can they withhold my salary though?

    • @bazmina
      @bazmina Год назад

      @@OneMwataK Nope. You have a breach of contract if they refuse to pay you. Under your original contract they will have a contractual obligation to pay you your wages. If they refuse to pay it that's a breach of contract and you could sue. The reality is they won't withhold your pay. What they'll do is act really disapointed and let down to try to manipulate you into signing the non compete. But by offering you a non compete they're basically saying we don't want you going elsewhere as we know you're good so if anything it says they think a lot of you!

  • @nuncle
    @nuncle Год назад +1

    It seems like a very subjective measure on what is enforceable or not. Where can you see examples of what was and wasn't enforceable?

    • @RevorecRecruitmentSolutions
      @RevorecRecruitmentSolutions  Год назад +1

      This is from being on both sides of the fence, dealing with employment solicitors and h as having first and second hand experience of the instances. I couldnt give you examples but this is all genuine info.

  • @notanordinaryfitness6489
    @notanordinaryfitness6489 Год назад +1

    Thank you for the video it answered many questions.
    I do work for a recruitment company too and i was thinking to start to work as independent recruiter with my partner. In my contract i have a restrictive covenants that does not allow me to be involved in any Capacity with any business which is in competition with any Restricted Business. Does this apply if i will be self employed? Also if my partner will reach out to previous clients that i met during my employment whom contact details are public will I be in breach of contract even if i will not be involved at all during any communications? Im working on a junior level for this company for less than 2 years. Many thanks for the help.

    • @RevorecRecruitmentSolutions
      @RevorecRecruitmentSolutions  Год назад +1

      Thats all breach of contract stuff to be honest. By the restrictions having your partner contact your old clients will benefit you as you work in the business benefitting from it. Its privileged info. Also yes to self employed, ltd, llp etc. 2 years is a reasonable period also. Junior employees are typically considered under 12 months. 2 years is considered experienced. I'd be careful to be honest. Plus in a recession year its doubly important that you are effective at being able to sell to new business as opposed to relying on old clients

    • @notanordinaryfitness6489
      @notanordinaryfitness6489 Год назад +1

      @@RevorecRecruitmentSolutions
      Thank you very much for the answer, just to clarify when you say Yes to self employed, do you mean I am allowed to do it for the 12 months following my termination of employment?

    • @RevorecRecruitmentSolutions
      @RevorecRecruitmentSolutions  Год назад +1

      Nope. I mean yes to the restrictions being enforceable against you breaching them. It depends on the company you work but I'd have our lawyers on someone if they did what youre proposing. I'd recommend new clients for 6 months. Youre only shining light is that terms have to be considered fair and reasonable to be enforced and 6 months is generally considered the fair limit. If yours is 12 months that makes it harder for a court to uphold the breach of contract. Just be careful

  • @briansbroncoadventura6899
    @briansbroncoadventura6899 Год назад +1

    So my wife and I own a business together but have not used it during my current employment in the same field. If I leave my company, can my wife work with the clients I have worked with without concern?

    • @RevorecRecruitmentSolutions
      @RevorecRecruitmentSolutions  Год назад +1

      If you are listed as a director or it can be seen that you have divulged restricted information to your wife that you have directly profited from then you could be sued. Less likely but there is a case