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Stuart J
Stuart J, Solicitor
Category: UK Employment Law
Satisfied Customers: 22624
Experience:  PGD Law. 20 years legal profession, 6 as partner in High Street practice
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I am currently a 30% owner and President of a small

Customer Question

I am currently a 30% owner and President of a small business. I feel my investment is at a high so will be selling my shares and retiring in January. Unfortunately my departure will hurt the company as I am the only involved management and owner. I have a three year non compete and received a job offer last year from a current supplier. I declined the and notified them of my non compete. (My ownership shares is not public information). They continue to reach out stating they would pay me a modest salary for three years if I'd sign a contract that once my non compete is up, I provide them 5 years of employment through an agreement. Basically, they would buy my time. This sound absurd, but is this legal and would this go against my non compete if I so choose this option? There is no non compete or agreement with this current supplier.
Submitted: 9 months ago.
Category: UK Employment Law
Expert:  Stuart J replied 9 months ago.

Good morning. Thank you for the question. It is my pleasure to assist you with this today.

I can tell you now that is most unlikely that a three year non-compete clause would be enforceable depending on the geographical nature of the clause.

Three years nationwide would certainly be unenforceable in all probability.

Three years within a very restricted area is potentially enforceable but still risky.

If it was 3 months nationwide, it may be enforceable.

Three months within a restricted area, would certainly be enforceable.

However you are saying that they would pay you a modest salary three years if you agree to work for them once your noncompete period is up. If you are asking whether you could do that even though you may not be working there but simply agreeing there to work there eventually, (and notwithstanding whether the non-compete provision is enforceable) would depend on the exact wording of the clause.

If you want to let me have the exact wording of the clause, I can expand my answer for you.

Can I answer any specific points arising from this?

Please do not forget to use the rating service to rate my answer positively. If you don’t rate it positively I don’t get paid.

You may get the impression that the thread closes after rating, but it does not, it remains open and we can still exchange emails if anything needs clarification.

Kind regards this