Jenny, a sales manager with SCS, resigned and set up a company a few doors away selling the same products as SCS.There was a clause in Jenny's employment contract that she would not to compete with the business of SCS for one year within Sim Lim Square.Jenny argued that her company was not bound by the clause.Advise Joshua if SCS can enforce the clause against Jenny and her company.

Joshua was the sole-proprietor of a computer accessories shop at Sim Lim Square called "Surewin Computer Shack". He planned to expand his business by buying over his neighbouring shop units.In order to raise finance for his expansion plans, Joshua converted his firm into a private limited company called "Surewin Computer Shack Pte Ltd" (SCS) and became its sole shareholder and director.He then sold the sole-proprietorship business to SCS and became a secured creditor as the sale price was still owing to him.When the computer industry had a downturn, SCS suffered huge losses.The creditors of SCS are threatening to sue Joshua personally to recover their debts.

Advise Joshua if he is liable to settle the claims personally.