Competition Act, 2002 - Non - Compete Clause
saquib
(Querist) 16 July 2010
This query is : Resolved
Dear All,
1. Whether Insertion of Non Compete in the Agreement for not can be possible by inserting a specific time Limit?
2. If yes then up to what Limit we can enforce the Non-Compete clause?
3. If No then what should be the recourse for the Party Sufferring the Loss? (If the Loss under Non- Compete Clause is not covered in Agreement)
4. Is there any Judgement of SC or HC regarding - "Non- Compete Clause is illegal" in Agreement?
Kindly reply ASAP.
Thanks & Regards,
Saquib
Mumbai
Devajyoti Barman
(Expert) 17 July 2010
1. The nature of the agreement needs to be seen as the non compete agreement may be held violative of the provisions of Competition Act by the Competition Tribunal.
saquib
(Querist) 17 July 2010
Dear All,
We have purchased a business about 3 years ago & BTA Contains the Non - Compete Clause that "They will not do this business in future".
Thanks & Regards,
Saquib
