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Jenny McKenzie
Jenny McKenzie,
Category: UK Employment Law
Satisfied Customers: 5083
Experience:  10 Years of experience in Employment Law and HR
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Hi. We have an employee of 11 years, who has recently informed

Resolved Question:

Hi.
We have an employee of 11 years, who has recently informed a director that they are working on a side project and if successful will leave and pursue that project.
We have stipulation in the employment contract that the company owns all IP an employee creates on their own time.
The employee has also attempted to get other employees to join him.
Is this grounds for dismissal if poaching is not covered in the current employment contract?
Also If we wish to ammend the current employment contract to include a non poaching clause what rights do we have if the employee refuses to sign?
Submitted: 1 year ago.
Category: UK Employment Law
Expert:  Jenny McKenzie replied 1 year ago.
Hello and welcome to Just Answer will your company suffer a financial loss as a result of his actions?
Customer: replied 1 year ago.
If either employee leaves then it will impact our current contract, we would have to rehire and train, the only impact right now is their focus on the current tasks.
Expert:  Jenny McKenzie replied 1 year ago.
Is it possible that he and the employees could take business from you?
Customer: replied 1 year ago.
No, whilst it is the same business type its not an avenue we pursue.
Expert:  Jenny McKenzie replied 1 year ago.
Hello and thanks, XXXXX XXXXX the employee owes you a duty of trust and confidence and fidelity which makes it a breach of contract for them to take steps to poach clients or employees.

You can write to him to remind him of the implied duty and also that if he does poach your staff you will take steps to recover your financial losses (which in this case will be limited to training and recruitment costs). This might be enough to put him off doing so.

As regards XXXXX XXXXX copywrite issue it may be that if he invented the product 'in the course of his duties' that you will be able to argue that you own the copy write of the invention. You can also refer to this in your letter if you wish.

If you have any further questions please do ask. If I have answered your question I would be grateful if you would give a positive rating for my answer.

Thank you and all the best.
Jenny McKenzie,
Satisfied Customers: 5083
Experience: 10 Years of experience in Employment Law and HR
Jenny McKenzie and other UK Employment Law Specialists are ready to help you

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