Poaching clients

[Cornishbelle]

Someone I know is planning to resign from a job (sales) and set up a new business to undercut the former employer and basically take the business. I have no idea but is this legal? Just worried they will leave a perfectly good job and be left high and dry

It would depend if they had a non-compete clause in their contract

She needs to check her contract. She could find herself being sued by her old company.

If the plans are clear they may be not required to work notice and take gardening leave. Client contacts should be covered by gdpr.

She seems to think as she won't actually be stealing a client database and just approaching them on spec as it were she will be ok as they are free to buy from anywhere but I'm not so sure

She can’t take a written down list but unless it’s prohibited by her contract there’s nothing to stop her using her memory and contacting the clients she can remember.

I am not an employment lawyer.

Most sales jobs will have a non-compete clause in the contract. If she breaches it she could be liable to her former firm for any losses they suffer as a result of the breach. They could also seek an injunction to stop her breaching it.

Two points to add to eurochick's:

1. Losses can be hard to prove to the standard needed in court;
2. A court will always be mindful of your friend's right to earn a living. This is often used to counter the non-compete clause.