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Ben Jones, UK Lawyer
Category: UK Employment Law
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Clarification about a CNC/Restraint of Trade clause

Customer Question

Hello, I'd need some clarification about a CNC/Restraint of Trade clauses between two business entities when one entity pay another entity for research purposes.

I'm a EU based business doing IT Security research. I've been hired by a UK based IT Security company for doing R&D for them.

The scope of the engagement is development services, reverse engineering and all those services required by the company

This is a one year agreement getting renewed yearly. Among the agreement clauses, there's a CNC clause claiming that the independent contractor is free to provide services to any other of independent contractor's customers and/or client with the exception of company's direct competitors.

Assuming of course that the projects developed for this company are property of this company and their IPs - is this clause actually valid? This is preventing us from doing any other business aside this, because our business activity is based on the IT security field. Not working with direct competitors means to us a business damage.


Submitted: 1 year ago via InBrief.
Category: UK Employment Law

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