Legal Question in Employment Law in India

Hi,

I have signed a service agreement with Non solicitation clause and I am deputed to client location at same city- Bangalore India (but none of client benefits are given) but Now my client is offering me to join their company and even I am interested to join But due to clause I am worried.

My concern is if I will join then what action they going to be take? Please provide me the legal conscience.

Below is the non solicitation clause in service agreement:

Non solicitation: EMPLOYEE agrees that, for a period starting on the date of execution of this

SERVICE AGREEMENT and continuing until one (1) year after termination of this SERVICE

AGREEMENT, no matter how such termination has occurred, he/she will not:

a) Solicit any person or entity which is, or is actively being solicited by or on behalf of

EMPLOYER to become a customer or client of EMPLOYER at the time of such termination,

wherever located, to offer services of a kind available from company at the time of such

termination.

b) Accept any offer of employment, directly or indirectly, from any EMPLOYER�s client or the

client�s end user customer (incase of consultancy or placement organization) with which

EMPLOYEE may have come in contact as a result of this SERVICE AGREEMENT whether

such employment be on a part time, full time, independent contractor or any other basis.

c) Accept any offer of employment from EMPLOYER�s competitor(s) and/or EMPLOYER�s

clients� competitor(s) who will be executing similar projects.

Annexure � 1

As the nature of business demands the service of the EMPLOYEE at EMPLOYER�s client location (onsite), EMPLOYEE agrees to work for EMPLOYER at their clients� location (onsite). During such on site

deputation, all the terms and conditions set forth in EMPLOYEE�s job offer letter, as well as this service

agreement, shall remain in effect as long as EMPLOYEE is on deputation.

If, for any reason, EMPLOYEE were to leave the services of the Company under whatsoever circumstances,during assigned onsite deputation or within six months from the date of EMPLOYEE�s return, EMPLOYEE shall:

a. Pay to EMPLOYER, a one time settlement of Rs.10 Lakhs, in addition to Rs.2 Lakhs per month on

an accrual basis starting from the date of onsite deputation until the date quitting the services.

b. To refund other travel and visa related costs as applicable (such as, but not limited to, air ticket,

accommodation, and per diem allowances)

Thanks;

Sam

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