• Non-compete agreement

I did Non compete Agreement With my Brother for 30 year i want to Cancel this agreement with in 10 year time So it is Possible by law
Asked 4 years ago in Business Law

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16 Answers

It is necessary to peruse agreement executed by you to advice 

 

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

Ajay Sethi
Advocate, Mumbai
96866 Answers
7814 Consultations

Yes, if you brother is willing to do so then you both can entered into cancellation of Non Compete Agreement.

Ganesh Kadam
Advocate, Pune
12987 Answers
262 Consultations

Hello,

  1. You can cancel the agreement within 10 years if you choose to. You will have to issue a notice to your brother about your intentions to cancel the agreement or seek his consent to cancel it.
  2.  If upon contacting your brother he is agreeable about cancelling, you can register a cancellation of the agreement in question.

S J Mathew
Advocate, Mumbai
3595 Answers
175 Consultations

What are the contents of NDA?

If anyone of its clauses  allows both of you then YES otherwise NO.

Therefore viewing of contents of NDA is essential to advice you lawfully for your question and issue raised in this post.

 

Ramesh Pandey
Advocate, Mumbai
2541 Answers
8 Consultations

You need to send him a legal notice and cancel. If he goes to court you need to contest case for the same

Prashant Nayak
Advocate, Mumbai
32457 Answers
200 Consultations

- Non compete agreement means , that that the Executive will not, directly or indirectly, alone or in association with any other Person, participate in the ownership, management, operation, financing or control of, or be employed by or consult for or otherwise render services to, any Competitor in any country in which the Company or a Related Person has conducted business, or Form of Amendment to Employment Agreement demonstrated its intention to conduct business, during the last two years prior to the termination of the Executive’s employment. 

- Further , as per 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, except the one who sells goodwill of a business with a buyer to refrain from carrying on a similar business within specified local limits so long as the buyer, or any person deriving title to the goodwill from him, carries on a like business therein provided that such limits appear to the court reasonable, regard being had to the nature of business.

-  Further , the Supreme Court in the matter of Percept D'Mark (India) Pvt. Ltd. Versus  Zaheer Khan and Another. held that , under Section 27 of the Contract Act (a) a restrictive covenant extending beyond the term of the contract is void and not enforceable. (b) The doctrine of restraint of trade does not apply during the continuance of the contract for employment and it applied only when the contract comes to an end. 

- Hence, legally you can cancel this agreement within 10 years of period after sending a legal notice to your brother. 

Mohammed Shahzad
Advocate, Delhi
14479 Answers
221 Consultations

Yes it is possible 

Rahul Jatain
Advocate, Rohtak
5365 Answers
4 Consultations

Every agreements can be altered, modified or even revoked with the consensus of both parties. 

Therefore in your case also you can terminate this non compete agreement ar any point of time. 

Devajyoti Barman
Advocate, Kolkata
23206 Answers
513 Consultations

Non compete Agreement not valid in India and was null and void ab initio. 

Yogendra Singh Rajawat
Advocate, Jaipur
22991 Answers
31 Consultations

Why did you enter into a non compete agreement with your brother,  is it any business agreement or what. 

The non compete agreement cannot be entered for such a long period. 

You can revert with details so that you can get more proper opinion. 

T Kalaiselvan
Advocate, Vellore
87067 Answers
2338 Consultations

it can be cancelled prematurely if there is a clause to that effect in the agreement 

Yusuf Rampurawala
Advocate, Mumbai
7668 Answers
79 Consultations

The simple answer is that if you violate a non-compete agreement that is legally valid

Mohammed Mujeeb
Advocate, Hyderabad
19306 Answers
32 Consultations

Yes you can send him a notice for cancellation of agreement to intimate him about date after which you will not follow terms of that agreement and if he have any objection then reply before that date Otherwise agreement will stand cancelled automatically.

Mohit Kapoor
Advocate, Rohtak
10687 Answers
7 Consultations

Yes, it is.

Regards

Swarupananda Neogi
Advocate, Kolkata
2973 Answers
6 Consultations

Dear Sir,

it is submitted that your question is not clear. You are suggested to submit your query in clear words to enable us reply correctly. 

Ganesh Singh
Advocate, New Delhi
6769 Answers
16 Consultations

How can an agreement be valid for 30 years unless you Re ready for it. Otherwise you will not be able to do anything.

Hence go ahead and do whatever you want to. This agreement can be challenged on grounds of restraint of trade.

Rahul Mishra
Advocate, Lucknow
14107 Answers
65 Consultations

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