Superior Job Co.

Questions 7 8 (20 marks)

Superior Job Co. is one of twelve companies fighting for Vancouver's highly competitive job placement business, and has been a successful performer in that business for more than twenty years.

Matt is one of three placement directors with Superior Job Co. When he joined the firm he signed an employment contract which contained, among others, the following clause:

"The employee agrees that he will not alone, as an employee, or in association with any other person engage in business dealings involving job placement with clients for whom Superior Job Co. has performed job placement services within the two year period preceding the employee's leaving the employment of Superior Job Co. This restriction shall extend for a two year period following cessation of the employee's employment with Superior Job Co."

Matt is dissatisfied with his employer's rigid and inflexible management style and is thinking of leaving to establish his own job placement business.

Q. Superior Job Co.

Matt wants advice from you as to whether he will be bound by the clause set out above.Explain fully with references to any applicable law.

Q. Superior Job Co.

Would it make any difference to your answer if Matt had signed the contract above, not when he joined Superior Job Co. but 2 years after his starting date? Give full reasons.