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Jamie-Law
Jamie-Law, Solicitor
Category: Law
Satisfied Customers: 1236
Experience:  Solicitor
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I apolgise if this is not in the right section. I recently

Customer Question

I apolgise if this is not in the right section. I recently sold my business (a care company) which contained a covenant that I would not in effect trade as a care company in the same area for two years. I would like to trade now as a consultant - does this preclude me from doing this? I can copy and paste the three relevant paragraphs if that helps add clarity.
Thanks in advance.
Neil
Submitted: 1 month ago.
Category: Law
Expert:  Jamie-Law replied 1 month ago.

Hello Neil my name is ***** ***** I will help you.

If you can paste it here please.

Customer: replied 1 month ago.
8.4 The Seller further agrees and covenants with the Buyer that he shall:
8.4.1 not for a period of two years from the Completion Date solicit or tout for or provide any services or goods of a type similar to that provided by the Company prior to the Completion Date to any persons who was a regular client of the Company or who was in the habit of dealing with the Company at any time within the period of two years prior to the Completion Date nor shall the Seller attempt or seek to entice such clients and/or persons away from the Company for their own benefit or for the benefit of any third party for the purposes of providing any services or goods of a type similar to those provided by the Company prior to the Completion Date;
8.4.2 notify the Buyer immediately (and in any event within 3 Business Days where immediate notification is not practicably possible) of any contact which the Seller receives from current and/or former clients, customers and/or CAREGivers or other employees of the Company;
8.4.3 forward all queries and/or enquiries received from current and/or former clients, customers and/or CAREGivers or other employees of the Company by the Seller after the Completion Date to the Buyer within 3 Business Days of receipt.
8.5 The Seller acknowledges that the restrictions contained in Clauses 8.2 to 8.4 are fair and reasonably necessary for the protection of the interests of the Buyer having regard to the acquisition by the Buyer of the Shares under this Agreement but in the event that any such restrictions shall be found to be void but would be valid if some part thereof was deleted or the area of operation or the period of application reduced such restriction shall apply with such modifications as may be necessary to make it valid and effective.
Expert:  Jamie-Law replied 1 month ago.

You can become a consultant assuming you are not providing goods/services to any customer who was a regular customer of the Company.

That is it.

So yes you can be a consultant as long as you dont deal with anyone who was a regular customer.

Can I clarify anything for you about this today please?

Customer: replied 1 month ago.
I would not be providing goods/ services to anyone I already know i.e. clients, carers or suppliers of my old company. I would be advising companies providing the same type of services that I used to provide - they could potentially be in direct competition with my old company if they were in the same geographical location. Does that make sense?
Expert:  Jamie-Law replied 1 month ago.

Yes you can do that.
That does not breach the clause.

Does that clarify?

Customer: replied 1 month ago.
Great, that clarifies.
Expert:  Jamie-Law replied 1 month ago.

If I could ask you to rate my answer before you go today, by clicking on the 5 stars or happy face, otherwise the site does not pay me for the time spent with you today. Thank you in advance and good luck!

Expert:  Jamie-Law replied 1 month ago.

If this answers your question could I invite you rate my answer 3, 4 or 5 starts before you leave today.

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