Employement at client
p
(Querist) 12 January 2017
This query is : Resolved
Sir, I am employed in Indian IT firm and was sent to work in client location in US. In US I signed a Non Disclosure and Invention Assignment and Non Solicitation Agreement with my Parent employer. In which it is stated that I cant work with client post termination of employment for 1 year. In the event of breach of contract i will need to pay huge amount. I signed these papers in US.
Now my client has offered me a good offer and posting in India in their Indian office.The recruitment procedure is going on in Indian client office.
Client has asked any agreement if I had with my Employer? I need to produce this doc. Even with agreement, if client is ready to hir me and
if I joined client in India, what will be implications. Can my Parent Employer sue me. can they force me to pay the amount.
Kumar Doab
(Expert) 12 January 2017
As per your post you have signed Non Compete Clause/agreement with parent employer that is Indian employer, but the papers were signed in US.
It is hint at; jurisdiction to courts in USA.
Unlike US laws Indian courts may not agree to enforcement of Non Compete Clause/agreement.
You may better show all papers to a very able counsel/law firm specializing in such matters/service matters.
Do you have the copies?
Would your next employer (Client) support you in case your sued?
Try by showing the papers to attorney's in US with support of client.
adv.bharat @ PUNE
(Expert) 12 January 2017
Author need to explain the query raised by expert.
p
(Querist) 13 January 2017
Thanks for the reply sir. Inspite of showing these documents client is ready to hire me.. Shall i take risk to join client company.
p
(Querist) 13 January 2017
ir, I am employed in Indian IT firm and was sent to work in client location in US. In US I signed a Non Disclosure and Invention Assignment and Non Solicitation Agreement with my Parent employer. In which it is stated that I cant work with client post termination of employment for 1 year. In the event of breach of contract i will need to pay huge amount. I signed these papers in US.
Now my client has offered me a good offer and posting in India in their Indian office.The recruitment procedure is going on in Indian client office.
Client has asked any agreement if I had with my Employer? I need to produce this doc. Even with agreement, if client is ready to hir me and
if I joined client in India, what will be implications. Can my Parent Employer sue me. can they force me to pay the amount.
Kumar Doab
(Expert) 13 January 2017
The client has already asked to submit all docs and You may submit the said doc to client under proper acknowledgment and clarify preferably in writing, that in case you are sued the client shall pay the amounts/damages and arrange attorney for you and pay the fee of attorney.
The said doc is signed in USA.
Your all posts hint at; jurisdiction to courts in USA.
What is the jurisdiction of courts inserted in said doc.
Non Disclosure and Invention Assignment and Non Solicitation Agreement and its violation can trouble you.
Unlike US laws Indian courts may not agree to enforcement of Non Compete Clause/agreement.
You may better show all papers to a very able counsel/law firm specializing in such matters/service matters, from your side also, before you act on your own.
It is felt and reiterated that you may avoid this assignment till you have proper legal opinion.
Guest
(Expert) 13 January 2017
Of course, your Parent employer can sue you and also can force you to pay the bond amount, unless the terms of bond/agreement are found to be void or illegal, as per the provisions of Indian and/or US laws..
Rajendra K Goyal
(Expert) 13 January 2017
Without referring related documents, nothing can be advised. Discuss in detail with expert lawyer in agreements.
Kumar Doab
(Expert) 13 January 2017
You have posted that:
"Thanks for the reply sir. Inspite of showing these documents client is ready to hire me.. Shall i take risk to join client company."
Showing without acknowledgment and without building proper record may not be of any use to you.
Verbal assurance of client may not be of any use to you.
Proper legal opinion by sharing the agreements signed by you by your free will and all employment related docs and sharing your inputs in person with a very able counsel/law firm specializing in such matters/service matters at your location can be of use to you and defend your long term interest.
Subsequently you may consult in USA.
If you are in USA, consult ASAP.
You may avoid this assignment till you have proper legal opinion.
If you are sued and are mired in litigation it may affect your future.
p
(Querist) 13 January 2017
The jurisdiction of courts inserted in said doc is juridiction of court of the country of New York, USA .
If I moved to India in client office, Can US court take legal action
Guest
(Expert) 13 January 2017
It is not the court to act in itself to take any legal action, but the it is the employer who can approach the US court for the order about execution of the terms of bond/ agreement.
Rajendra K Goyal
(Expert) 13 January 2017
Decree from US court may not be executed in India easily.
Defending court proceedings is very costly in US.
May proceed as advised by the experts.
Dr J C Vashista
(Expert) 14 January 2017
@ p,
1. You did not disclose your identity and remained "anonymous" whereas "anonymous" authors are not entertained on this platform, even than experts have obliged you for that they (experts) deserve gratefulness.
2. Your employer has spent a huge amount on your training and posting you abroad on company's coffer, accordingly they got an agreement from you, they are well within their rights and there is nothing illegal.
3. Since you have executed the agreement binding yourself, you can be prosecuted and your employer is entitled for compensation, if you violate the terms.
4. It is the choice of employer to sue you in US or India, depending upon advise of their legal branch/experts.
5. However, a decree passed by either of the Court (US or India) execution against you shall not be such a big problem as the DH shall seek attachment of your salary, bank account and other assets.
6. The prospective (new) employer may offer better avenue/opportunity/perks & pay but did you discuss and got written assurance qua the amount of compensation you are liable to pay to present employer. I think you will have to take the burden of litigation and awarded amount of compensation.
7. Consult a prudent lawyer before taking any decision to quit the present job.
Guest
(Expert) 14 January 2017
Mr. P,
Dr. J.C. Vashista has advised you elaborately.
Dishonesty can ultimately mar your future career. Better be honest with your present employer till at least the bond period is over. Loyalty, Sincerity, and honesty of an employee with employer ultimately pays more as compared to temporary gains achieved out of greed.
Kumar Doab
(Expert) 14 January 2017
You are narrowing down your query to;
Non compete Clause/agreement.
It has already been posted that :
‘Unlike US laws Indian courts may not agree to enforcement of Non Compete Clause/agreement.
Non Disclosure and Invention Assignment and Non Solicitation Agreement and its violation can trouble you………………………………..in India also.
The client has already asked to submit all docs and You may submit the said doc to client under proper acknowledgment and clarify preferably in writing, that in case you are sued the client shall pay the amounts/damages and arrange attorney for you and pay the fee of attorney.
You may better show all papers to a very able counsel/law firm specializing in such matters/service matters, from your side also, before you act on your own.’
Like in India in USA also states can enact its laws.
There seems to be specific reason and purpose to sign agreement in New York and there might be specific laws that are in favor of such contracts.
Hence you may check, and confirm on your own thru your own counsels also.
Although you have not posted anything on Training imparted to you and your involvement in ‘patent, research,invention’ and any new findings that can be claimed as propreity,secret,invention by your employer or by client.
You may examine the charges if any of such nature that be fastened on you.
Although consultation in USA may involve a COST still I shall suggest that in addition to opinion of attorney of client you may obtain legal opinion on your own as well.
If the client agrees to foot the bill for legal support in case you are sued then it may also bind you with some agreement.
Employee should always consult before signing on dotted line.
