What you have signed is not covered in Sec.27, the clause you referred is right as this related to save goodwill of the business.

Any agreement in restraint of trade is void under section 27 of contract act 

2) you are at liberty after resignation to join any other organisation 

3) however you cannot solicit employees of your organisation 

 An employee is refrained from continuing to work in the same profession after the term of employment then such a restraint is unfair to an ex-employee skilled in only that particular profession. Non-compete clauses which extend to post employment are held to be invalid and in violation of Article 19 (1) (g) of the Constitution and section 27 of India Contract Act.

See you may ask to remove the clause from your agreement to avoid litigation though the clause cannot be enforced. 

Only if you use there private information for personal gain and/or bring any loss due to use of that information, Company can claim compensation and recover damages.

Non solicitation clause up to not working/compete etc is invalid. 

This is a very normal clause in case of the higher positions to safeguard the business interest of the company but it should not be one sided if  this clause is part of your appointment letter then there must be a compensating clause as well and the company should compensate for the period of one year your salary and expenses so that incase complete clause is applicable then it should not have any burden on you in case you signed this appointment letter without the compensation clause this will be one sided and incase your services are terminated from the company then for the period of one year you will not be able to join any similar business which is doing business of the similar commodities the sale purchase as the expertise you get while working in this company will definitely be your easiest way to get similar jobs.

Ans: Yes you are bound this agreement as its a valid contract and you are able to understand the contents of the same before signing the same.

The Company can initiate legal action against you.

After proper resignation you can join any company.

A non-solicitation clause prevents an employee or a former employee from indulging in business with the company's employees or customers against the interest of the company.

In contract law, a non-compete clause (often NCC), or covenant not to compete (CNC), is a clause under which one party (usually an employee) agrees not to enter into or start a similar profession or trade in competition against another party (usually the employer).

Section 27 of the Indian Contract Act-1872 provides that ”Every agreement by which anyone is restrained from exercising a lawful profession or trade or business of any kind, is to that extent void”

Indian law is therefore very clear and strict on this point, any such non compete agreement shall not be binding on the parties and the same shall be null and void. By using the term void ab initio, for such type of agreements it has shown that it has kept such non compete clause in the agreements beyond consideration. Indian courts have also consistently refused to enforce post termination non compete clauses in employment contracts as “restraint of trade” is impermissible under section 27 of the Indian Contract Act-1872, and have held them as void and against the public policy because of their potential to deprive an individual of his or her fundamental right to earn a living.

However considering the developed social, legal, and corporate circumstances, and the required confidentiality and the integrity of the employments, the judiciary has inclined its view towards giving some regard to the non compete agreements. In the case of ‘Niranjan Shankar Golikari Vs the Century Spinning and Manufacturing Company Ltd.’ , the Hon’ble Supreme Court observed that-“restraints or negative covenants in the appointment or contracts may be valid if they are reasonable”. Further in one case - V.F.S. global services Pvt. Ltd Vs Mr. Suprit Roy, 2008(2) Bom CR 446, the Bombay High court established the principle that a restraint on the use of trade secrets during or after the cessation of employment does not tantamount to a “restraint on trade” under section 27 of the Act and therefore can be enforceable under certain circumstances.

They may.

However considering the developed social, legal, and corporate circumstances, and the required confidentiality and the integrity of the employments, the judiciary has inclined its view towards giving some regard to the non compete agreements. In the case of ‘Niranjan Shankar Golikari Vs the Century Spinning and Manufacturing Company Ltd.’ , the Hon’ble Supreme Court observed that-“restraints or negative covenants in the appointment or contracts may be valid if they are reasonable”. Further in one case - V.F.S. global services Pvt. Ltd Vs Mr. Suprit Roy, 2008(2) Bom CR 446, the Bombay High court established the principle that a restraint on the use of trade secrets during or after the cessation of employment does not tantamount to a “restraint on trade” under section 27 of the Act and therefore can be enforceable under certain circumstances.

They may.

However considering the developed social, legal, and corporate circumstances, and the required confidentiality and the integrity of the employments, the judiciary has inclined its view towards giving some regard to the non compete agreements. In the case of ‘Niranjan Shankar Golikari Vs the Century Spinning and Manufacturing Company Ltd.’ , the Hon’ble Supreme Court observed that-“restraints or negative covenants in the appointment or contracts may be valid if they are reasonable”. Further in one case - V.F.S. global services Pvt. Ltd Vs Mr. Suprit Roy, 2008(2) Bom CR 446, the Bombay High court established the principle that a restraint on the use of trade secrets during or after the cessation of employment does not tantamount to a “restraint on trade” under section 27 of the Act and therefore can be enforceable under certain circumstances.

They may.

The said clause will be valid as if you voluntarily sign the same. Company can restrict you with confidentiality agreement

1. Non compete clause will be null and void because the agreement or contract in restrain of trade is void under section 27 of Indian contract act.

2. You can join any company of your choice after resigning from this organization whether they are clients or Rivals of your employer.

This is my response to you:

1. You should know this case beforehand: In the case of Pepsi Foods Ltd. & Others v. Bharat Coca-Cola Holdings Pvt. Ltd. and Ors., the enforceability of the negative covenant restraining employees from employment elsewhere was viewed as ‘economic terrorism';

2. Even then they will send you a legal notice;

3. Even if they approach the court, they will not be able to prove concrete proofs;

4. If you have signed a bond  or paper or document or agreement where you agree to pay the compensation then they will chase you;

5. You can always claim protection under fundamental rights under Art. 19(1) (g): Right to profession;

6. Therefore do not worry about getting Dragged in court;

7. If you worry so much then do not join any competitor business, take a different line of business or corporate work.