UAE: Can my employer enforce a non-compete clause against me?
The non-compete clause in the UAE Labour Law and the implications of breaching it
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2 MIN READ
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Have a new job offer? Here is what the non-compete clause in your current contract means.
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The reader has been working in the company for four years.
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He now has a better job offer.
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Reda Hegazy, Senior Legal Advisor and Arbitrator at Al Suwaidi and Company.
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Article 127 cover the aspects of protecting an employer business secrets.
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However, the non-compete clause has certain specific requirements, that need to be mentioned in the contract.
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All these elements should be applicable at the same time for the clause to be valid.
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The aim of the clause is to protect the employer's interests.
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You can still join the new company, however, your former employer may file a court case in certain cases.
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What happens if the employer files a court case?
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The former employer would need to prove in court that the employee's new job has led to financial loss for him.
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If proven in court, the employee may need to pay some compensation comparative to the damages.
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