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Company agreement binds me not to use same product for my own business
02-Jan-2023 (In Labour & Service Law)
I joined a company 7 years back and signed appointment letter which says I cant work for 3 years, on a product/sector related to that and associated companies. How can I work in the same sector if I have the specific skill set. Will company take legal action of I bring my own product in same line after leaving the company? The company technology is out of patent now. Its more than 25 years. Please help
You may join another company in the same sector however your previous employer may proceed against you based on the non-compete clause in your previous contract or letter of appointment. If your previous employer proceeds against you then the non-compete clause can be challenged on the ground that it is against public policy.
Blanket non-competes can be challenged if they are unreasonable as they would infringe your fundamental rights. Once a patent has expired the subject matter of the patent can be used by anyone. However, the product you develop should be a significant improvement if you want it protected by another patent. Feel free to get in touch if we could be of any further assistance to you.
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Adv. Siddhant Sharma
Delhi | 200+ Answers
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