Restrictive Working Clause

[Manic]

Just wanted to check that others read this as I do, that my limited is unable to perform any similar services for any company that competes with the "Company"?

Also thoughts on legal standing if you have an opinion.

During the Consultant's appointment under this Agreement it will not and will
procure that its personnel shall not directly or indirectly or whether on its own
account or in partnership with another or others either as principal or as
servant agent or officer of another act in a similar consultative capacity for or
deal with or engage in business with or be interested in any concern undertaking
firm or body corporate which engages in or carries on within any
part of the world any business which competes or seeks to compete with the
business for the time being carried on by the Company or any Associated
Company.

Thanks.

[meridian]

Reads that way to me, with the restriction only applying for the duration of the employment.

Whether you find this excessive will be a personal choice and will depend on what you're doing. It's basically saying, while you work for Shell don't do any work for BP. Which might be excessive if you're the cleaner, but not that excessive if you're coding some financial reports.

[Manic]

Thanks. The problem is there is more than one consultant in my limited, so effectively stops everyone else working.

[meridian]

For a contract via the agency it's probably a standard clause, but ultimately fairly redundant in the real commercial world - big companies employ consultants precisely because they have prior or current experience with their competitors.

Have a word with the agency to explain that your company's size and depth of expertise means that there will inevitably be crossover into competitors, and ask them to remove it or replace it with something more commercially viable (NDA for example).

[Manic]

Unfortunately not an agency, it's a B2B contract!

[thunderlizard]

That's very restrictive - as you say it ties up all your consultants.

Also:

engage in business with

so if the client is Asda none of your staff is allowed to shop at Tesco for the duration.

[DodgyAgent]

Just wanted to check that others read this as I do, that my limited is unable to perform any similar services for any company that competes with the "Company"?

Also thoughts on legal standing if you have an opinion.

During the Consultant's appointment under this Agreement it will not and will
procure that its personnel shall not directly or indirectly or whether on its own
account or in partnership with another or others either as principal or as
servant agent or officer of another act in a similar consultative capacity for or
deal with or engage in business with or be interested in any concern undertaking
firm or body corporate which engages in or carries on within any
part of the world any business which competes or seeks to compete with the
business for the time being carried on by the Company or any Associated
Company.

Thanks.

Sign it and then ignore it. Unless you take the p*** then no one will even know.

[Wanderer]

Sign it and then ignore it. Unless you take the p*** then no one will even know.

That's what I'd do too. The clause is very broad and covers so much that you could probably argue that it's restraint of trade if it came to court anyway...

[Manic]

Coy agreed to remove it, thanks for replies.