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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Employment Law
Satisfied Customers: 110467
Experience:  20+ Years of Employment Law Experience
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We run a luxury limousine company. We hire contractors

Customer Question

We run a luxury limousine company. We hire contractors to drive our clients because our own drivers are not enough. However I must emphasize that these are our clients. We usually assign a driver to the client based on several factors (matchmaking in a way) and it all seems to work out. Is there a way I can keep my contractor from trying to steal my clients? Is there some form of agreement or non-compete clause given that we have hied them to drive our clients, because they would otherwise not be able to get these clients on their own.
Also our company has an image to maintain that has been part of our brand, can we impose a dress code? Not a uniform just formal attire.
Thank you.
Submitted: 5 months ago.
Category: Employment Law
Expert:  Law Educator, Esq. replied 5 months ago.
Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.
Yes, you would have to use a non-compete agreement with your contractors. Such contracts are enforceable in NY, so you can make the driver sign an agreement that states they "will not solicit, entice or take employment from any client or former client of your service with whom they have had contact or been introduced to by your company or any employee or former employee of your company during the time they remain an employee or contractor with your company and for a period of 12 months after." That is the type of clause that would prevent them from taking your clients. You should also put a "Liquidated Damages" clause in the contract stating that the parties acknowledge that the damages from a breach of the agreement would be difficult to calculate and set an amount you believe is fair in the event they breach the agreement plus attorney's fees and all legal costs of pursuing them for breach.

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