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Held to ransom
Comments
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Keynesfun said:I’m not saying she can’t but how hard is it to get a decent job
she’s earned her right to Step up the ladder in her field
I’m thinking no court would let them hold her to ransom in these times
do you agree
That is not to say that your wife doesn't have a case, she may have, but these type of clauses can be enforceable if properly drafted and depending on the circumstances.
The obvious question is why did she agree to such a term if she wasn't willing to be bound by it? It is never a good starting point to sign up to something hoping that either it is not enforceable or that the other party won't bother to try.
Even if she has a case she could still end up in an expensive legal battle against, presumably, a far better resourced opponent.0 -
Keynesfun said:Hello people my wife has just handed her notice in with her company she has to give 3 months notice
she is going to work at a competitor in her field and her contract states Once you leave to work for a competitor you can’t work for 6 months
now it looks like the company might hold her to this without pay
she has a 12 year old daughter
so they expecting her to not work and earn money for the period of time
the company our willing to wait for her
but this surely wouldn’t stand up in court if the need arises
opinion plz
Steve
If your wife works in something of a niche area, and she has specialist skills and knowledge, then six months isn't likely to be seen as an unreasonable time. Businesses are entitled to protect themselves and are much more likely to do so fairly aggressively in the current difficult trading environment. You say her potential new employer is 'willing to wait', so it sounds as if they knew she has restrictive covenants in her current contract. They will therefore also know that if they go ahead and hire her without waiting for the relevant six months to pass, her current employer could bring a claim against them for inducing your wife to breach these terms.
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OK, what you are describing is a restrictive covenant. They are legally enforceable but they have to be reasonable, so your wife needs to look at what her contract actaully says.
For example, if it says she cannot work for a direct competitor within (say) 10 miles of her current employers offices for 6 months after she stops working for them, it may well be enforceable.
If it says she cannot work for a direct competitor anywhere in the country for that period, it may not be, depending on the nature of the work she does and the client base of the company.
This type of contract restriction are usually designed to prevent people from poaching clients / trying to take clients with them when they move jobs, and sometimes to make it harder for them to pass on commercially sensitive information of make use of commercially sensitive knowledge.
Legally, if she challenged it, the company would need to show that the clause was "designed to protect the businesses legitimate business interests; and that it extends no further than is reasonably necessary to protect those interests" A court can look at what is normal in the relevant industry (for instance, this kind of clause is very common in the field I am in, I have never had a contract without a similar provision.
However, your wife may find that her new employer is unwilling to take the risk and have her start if it would put her in breach of the term, not least because her current employer could potentially sue them as well as her, if the y assert that the new company has induced her to breach the contract.
Your wife can of course request that her employers waive the term or agree a shorter period, but they may take the view that it is not in their business interests to do so.All posts are my personal opinion, not formal advice Always get proper, professional advice (particularly about anything legal!)3 -
A very interesting case in my locality where the claim was deemed very weak. Worth a read.
https://www.eveningtelegraph.co.uk/fp/dundee-hairdresser-faces-legal-bill-of-10k-despite-winning-case-against-ex-employers/
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Keynesfun said:Hello people my wife has just handed her notice in with her company she has to give 3 months notice
she is going to work at a competitor in her field and her contract states Once you leave to work for a competitor you can’t work for 6 months0 -
KatrinaWaves said:Smashingitnow said:Hi
I disagree with some of the advice here. She has a human right to certain things (food, home). Depending on your wife's role it is firstly unlikely they will take this to court and a defence can be mounted on the grounds of reasonableness. Please don't be bullied or assume that the work contract will be deemed legal, reasonable etc.What a load of tosh.March 2020 - 21k of debt; September 2020 - 14k of debt. Debt free target date September 2021
Diary of paying down debt whilst living abroad:https://forums.moneysavingexpert.com/discussion/6181237/5-000-miles-and-even-more-pounds#latest0 -
Smashingitnow said:KatrinaWaves said:Smashingitnow said:Hi
I disagree with some of the advice here. She has a human right to certain things (food, home). Depending on your wife's role it is firstly unlikely they will take this to court and a defence can be mounted on the grounds of reasonableness. Please don't be bullied or assume that the work contract will be deemed legal, reasonable etc.What a load of tosh.2
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