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Original poster

I did not follow policy at work. What will happen??

104 replies

cosmobrown · 15/12/2023 18:47

I resigned from my job In September, to leave at the end of this month.
I have recently been caught out not declaring a conflict of interest.
Background info : I work part time for this company, and part time freelance doing the same job in the same are. (I know, it's an unusual situation).
A company did not want to deal with my employer anymore, so asked if I would do a very small amount of freelance work for them. I said yes, but didn't declare it to my employer. None of my other freelance work has been declared either.
It is my last actual day on Monday, and I have to go and see the Big Boss.
What is the worse they can do to me??
Thank you
CosmoBrown

OP posts:
Newnamesameoldlurker · 15/12/2023 19:36

cosmobrown · 15/12/2023 19:30

My contract is very vague. There is no job description, nor any terms and conditions. It is just an outline of a contract really. I have been with company for over 20 years.

This sounds like you are in the clear then, I wouldn't worry!

Catza · 15/12/2023 19:36

cosmobrown · 15/12/2023 19:04

what is the worse they can do?

Sue you for loss of business. The company I worked for did it to the former employee as the contract stipulates we cannot work with business clients during the time of employment and for 6 months after leaving. Doesn’t matter if the client didn’t have the intention of working with your employer. It will still be considered poaching.
There is no set fine and they won’t be suing you for the payment you received. They can literally sue you for whatever amount they want as long as they can prove damages (actual or hypothetical)

NeedToChangeName · 15/12/2023 19:37

NaturalStudy · 15/12/2023 19:15

@NeedToChangeName Her employer may have a contract with the company that hired her directly prohibiting them from doing so. It's not uncommon. In which case they will sue the company directly. So it's not necessarily true to say the other company can instruct who they like and they don't owe her employer anything.

That's interesting. I stand corrected

Daisies12 · 15/12/2023 19:38

Goodlard · 15/12/2023 18:55

No reference, no pay, legal action that you've stolen a client.

Taking a client from your employer is a really stupid to thing to do!

This. Why did you even think it was an ok thing to do

tomatoontoast · 15/12/2023 19:40

cosmobrown · 15/12/2023 19:22

Interesting replies. Thank you all.
I would like to think they will just slap my wrists and tell me off. But I know I did something wrong, so understand they could do more, but what? So could they sue me for the amount of money I received for doing the work? Or is it a set fine?

You would be sued for the price of work done plus any expenses incurred by your company in suing you. For example, solicitor and filing fees.

It's unlikely you will incur any costs associated with a loss of future business. Especially if the other company verifies they had no intention to continue working with your company.

However, I can't really give you a good indication of the likelihood of this as I don't know anything about your company obviously but if the company is small and your contract is old I don't know how much success your company will have.

NeedToChangeName · 15/12/2023 19:42

Catza · 15/12/2023 19:36

Sue you for loss of business. The company I worked for did it to the former employee as the contract stipulates we cannot work with business clients during the time of employment and for 6 months after leaving. Doesn’t matter if the client didn’t have the intention of working with your employer. It will still be considered poaching.
There is no set fine and they won’t be suing you for the payment you received. They can literally sue you for whatever amount they want as long as they can prove damages (actual or hypothetical)

Edited
Show quote history

@Catza I guess that makes sense. Otherwise all clients would say they had no intention of instructing the employer company, and these clauses would be useless

MargotBamborough · 15/12/2023 19:42

What does it actually say in your employment contract about this?

thinkfast · 15/12/2023 19:46

MargotBamborough · 15/12/2023 19:42

What does it actually say in your employment contract about this?

This.

In the absence of an express contractual restriction, you've done nothing wrong (as long as you haven't used or revealed any confidential information). What does your contract say?

Aprilx · 15/12/2023 19:49

cosmobrown · 15/12/2023 19:22

Interesting replies. Thank you all.
I would like to think they will just slap my wrists and tell me off. But I know I did something wrong, so understand they could do more, but what? So could they sue me for the amount of money I received for doing the work? Or is it a set fine?

I cannot see them doing anything other than express their disapproval of this. I would not expect them to sue you for losses because it would take up too much time and in any case the other company might have gone elsewhere anyway so it would be hard to prove. Of course they cannot “fine” you, there is no such thing.

All that said, I personally think you were very foolish to do this, it could impact references or just your reputation. Certainly you are not somebody I would choose to employ as it shows a lack of judgement and, well honesty. I do not believe in unfailing loyalty to an employer by any means, but whilst I am with an employer, I think they are entitled to expected a certain degree of loyalty to the extent of not stealing business or mopping up dissatisfied customers.

ClareBlue · 15/12/2023 19:57

The worst is that your are sued for losses and costs of pursuing the claim. That they ensure that the industry knows you can not be trusted to be employed and they trash your rep and look to recover any loss that is due to you working in their time or using their facilities. You are reported to tax office. If you have used any privileged info from your 20 years with them then you are moving up a league. Especially if you know their costing basis and used that or any data stored by the company. That is then potentially a criminal issue if it is protected data.
The best is nothing happens.
And anywhere in between.

thinkfast · 15/12/2023 20:00

ClareBlue · 15/12/2023 19:57

The worst is that your are sued for losses and costs of pursuing the claim. That they ensure that the industry knows you can not be trusted to be employed and they trash your rep and look to recover any loss that is due to you working in their time or using their facilities. You are reported to tax office. If you have used any privileged info from your 20 years with them then you are moving up a league. Especially if you know their costing basis and used that or any data stored by the company. That is then potentially a criminal issue if it is protected data.
The best is nothing happens.
And anywhere in between.

Don't be so negative. Are you the OP's boss?? They can't sue for losses as it doesn't sound like there are any! If and only if there is a suitable and enforceable contractual restriction they could sue for an injunction and and account of profits. But based on the OP's previous comment about her contract and this being a tiny and low value piece of work, it sounds unlikely.

ClareBlue · 15/12/2023 20:01

Why did you say it is a conflict of interests. Doing freelance is not necessarily a conflict of interest, just not accepted in contracts. Was the work actually likely to cause issues for the company other than a loss of business.

ClareBlue · 15/12/2023 20:03

thinkfast · 15/12/2023 20:00

Don't be so negative. Are you the OP's boss?? They can't sue for losses as it doesn't sound like there are any! If and only if there is a suitable and enforceable contractual restriction they could sue for an injunction and and account of profits. But based on the OP's previous comment about her contract and this being a tiny and low value piece of work, it sounds unlikely.

Show quote history

OP asked what is the worst that can happen.
That is the answer.
I didn't say it will happen or even should happen.
OP asks 3 times What is the worst that can happen

RantyAnty · 15/12/2023 20:11

They can't do anything at all

Don't go if you think he'll sit there and verbally abuse you on your last day.

Spirallingdownwards · 15/12/2023 20:12

What is the conflict of interest? I see none.

What does your actual contract say about doing freelance work and non compete. If nothing there is potentially no cause of action at all.

Ploctopus · 15/12/2023 20:14

If your contract doesn’t have a specific non-compete clause they can’t do a single thing about it - not even a slapped wrist. You are only bound by the terms of your contact.

Even if there is a specific non-compete clause they won’t sue you. It would cost them an arm and a leg, and they don’t seem to have actually suffered losses anyway.

Don’t let them bully you. If there’s nothing about this in your contract they can get stuffed.

MeinKraft · 15/12/2023 20:19

Are you sure he wants to see you to discuss this? Not to wish you well after twenty years of service?

Maia77 · 15/12/2023 20:20

Well if it's not in the contract then I'm not sure they can sue you. In my contract it is clearly stated what would happen if I continued to work with the client in private practice. Basically I would have to pay them an x amount of money.

Startingagainandagain · 15/12/2023 20:23

@Goodlard ·

''Taking a client from your employer is a really stupid to thing to do!''

She didn't.

The client was unhappy with her company and decide to seek an alternative.

Even if she had say no to that offer her company would still have lost that particular client.

The client approached her, not the other way around.

Frankly OP if you think this is what they want to discuss on Monday, call in sick.

You don't want to discuss this with them without first seeking legal advice and seeing in writing what their issues are.

I would also let the company you are freelancing back you up and deal with your former employer. If the employer tries to sue for losses that company can simply say they were withdrawing their business no matter what and that you refusing to freelance them them would have not made them change their decision.

Borth · 15/12/2023 20:25

Catza · 15/12/2023 19:36

Sue you for loss of business. The company I worked for did it to the former employee as the contract stipulates we cannot work with business clients during the time of employment and for 6 months after leaving. Doesn’t matter if the client didn’t have the intention of working with your employer. It will still be considered poaching.
There is no set fine and they won’t be suing you for the payment you received. They can literally sue you for whatever amount they want as long as they can prove damages (actual or hypothetical)

Edited
Show quote history

I’d like to see them try and enforce the 6 months afterwards as the contract is null and void as soon as employment terminates.

Cottagecheeseisnotcheese · 15/12/2023 20:27

if your contract does not have a clear statement of what constitutes a breach of contract with reasonable terms, it can't be enforced. For a binding out contract for clients to be enforceable it must be reasonable , it can not prevent you from working in the same field once you leave, so something like 6 months and a radius of X miles may be reasonable never working with a previous client in the whole of the UK would clearly be unreasoanble. If there is no binding out clause in your contract however unwise it was they can't sue for a breach of a non existent clause

so it is crucial what your contract says, as you have been there 20 years and it is vague it would appear on surface there is not much they can do

Cottagecheeseisnotcheese · 15/12/2023 20:32

binding out clauses are legally binding provided they are reasonable, say you work at Mr A's dental practice in Town B which has 4 other practices the next nearest practice is 6 miles away in town C where there are 5 different practices. It would be reasonable to say you can't practice in town B for 6 months after leaving Mr A's practice, it would not be reasonable to say you couldn't go and work in town C or that you could not work in town B for 5 years

MargotBamborough · 15/12/2023 20:33

cosmobrown · 15/12/2023 19:30

My contract is very vague. There is no job description, nor any terms and conditions. It is just an outline of a contract really. I have been with company for over 20 years.

In that case I wouldn't worry too much about it.

LadyLapsang · 15/12/2023 20:36

Have you handed over your phone and laptop yet? As well as potential legal action I would assume you could lose your good name if it is a close knit industry. You thought you could get away with what you did, they may think they could get away with a few discrete conversations.

Doggymummar · 15/12/2023 20:37

They maybe want to ask you to stay?