Non-Solicitation Clause

Last updated on Jun 21, 2022

Poaching of Co-Workers

If there is a non-solicitation clause in your agreement, you cannot enlist other employees of the company in a business, trade, or profession that would harm the interest of the company. This restriction applies to you both while in the employment of the company and after you have left.

For example, if Harpreet Bedi leaves AYS Computers to start his own company, he cannot take employees/co-workers from AYS along with him. If he does so, he would be in violation of his contract with AYS and can be sued by them for breach of contract.

Poaching of Clients

Depending on the nature of employment, in some cases, this restriction on solicitation extends to customers of the company you are employed with as well. If you are leaving your current company to join a competing company or to start your own, you cannot take clients of the workplace you are leaving with you. This will affect the business of your ex-employer and you can be sued.

For example, if Lokesh Sharma leaves XYZ Ltd. to start his own company, he cannot take clients from XYZ Ltd. along with him while leaving. If he does so, he would be violating his contract with XYZ Ltd. and can be sued for breach of contract.

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