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Sundar (Researcher)     07 April 2014

Joining client company


This is my first post in this website and I am happy to be here!

I am facing problem from my previous employer regarding 'Employee Technology and Confidentilaity Agreement'.

I was employed at company A last year. In that tenure, I was executing work outsourced by Company B which is not in India. The business agreement between company A and B has my name on it as subcontractor.

Company A started to lay-off staff, did not offer pay raise last year even though my department was having high profit margin, did not get projects for other departments and so most of the employes either left or were asked to leave. I served notice period and was releived. I work on a specialised domain and I got an offer from a company C. Company C is a staffing company that provides appropriate people to companies. Company C, who pays me my salary now, has asked me to work at Company D. My end-client now is however, the same Company B. This is because Company D in India, is of the same group that owns Company B.
To sound simple, instead of me working from Company A for Company B last year, I am currently working for Company B through 2 other intermediates C and D.

Now, Company A has issued legal notice that I am employee of Company B and that they will get a restraining order for me, not to work at my employer's clients place. They say that they lost Company B because of me quitting them and accuse me of being on Company B's rolls. Infact, Company A lost Company B because Company A did not develop its capabilities as demanded by Company B and because they took no step to retain me or hire a replacement or did not equip them to meet the demand of company B. My work now is different than the one done at Company A. They have emailed all group companies of Company B that I cannot work for them.

Company A says that as per the technolgy and confidentilaty agreeement I cannot work with Company B for a period of 5 years from date of resignation. They say that I have parted confidential and proprietary infomation, which I have not. I am a technical person and I have only that skillset. I use software that almost all people like me use and that software is not proprietary to company A. Company A is threatening to seek damages due to lost client and says it will seek restraining order pertaining to me for employment. I am an ordinary employee and whatever my current employer and client says, I am obliged to do it.

Please suggest me on how to proceed. Any advice whether I have to resign my job or if I can stay and continue will be appreciated a lot. I have relocated my family from one end of the country to the other for this opportunity.

This act from company A had damaged my name a lot at my office.I lost chance to travel abroad 3 times as this issue is not resolved. My team members seek explanation on the allegations put forward by company A and it has put me in very bad light.

Your suggestions will help me a lot,



 2 Replies

Sanjay Malik (Manager- Legal & Compliance )     07 April 2014

No need to put your resignation, speak to your senior of company B for which you are working.

Legally company A can not to anythings, restraiting any employee from joining any employment of his choice is right to life a enshired in Constitution of India. Confidentiality clause is fine, but you have not disclosed any thing to company C or D or B about company B, which was secret business know how or what. what ever you are executed based on your skill set and which is in public domin.

speak legal consultant and send reply of the notice.

1 Like

Sundar (Researcher)     07 April 2014

Thank you for your reply, Sanjay.

I have spoken to a lawyer on this and will be sending a reply soon. What I am upset is the tone of the notice - as if I have murdered the company and they address as if I should be prosecuted, apart from saying terms like "blatant violation", "flagrant violation",  "injunctive relief", "pay damages" and "restraining order".

Company B and D, being part of the same corporation, has asked their legal team for opinion. They have also asked for a copy of my reply notice.

Feedback from others are the most welcome and I appreciate all those who help.



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