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conflict of interest

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1 conflict of interest on Mon Feb 23, 2015 1:53 pm


Arresto Menor
I have recieved an offer from another company having a different line of business with my current employer. Now my current employer is saying that I will be paying them due to "conflict of interest " which part of the contract that I signed. Below is the clause on that contract?


The Employee shall avoid incidents of conflict of interest which may involve any activity, investment relationship or interest that may run counter to his/her duties and responsibilities. Accordingly, the Employee commits to comply with the following undertakings:

a. To avoid having personal or family interest, financial or otherwise, in any competitor supplier or other businesses which may consciously or unconsciously influence their actions or decisions and thus deprive the Employer of legitimate profit.

b. To refrain from using their position in CURRENT_COMPANY. or knowledge of Company plans to advance their outside personal interests, that of their relatives, friends and other businesses.

c. To avoid outside employment or other interests for income which would impair their effective job performance.

d. To consult with Management on such activities or relationships that may lead to conflict of interest.

In any instance where the Employee is held liable for conflict of interest or commits any act in violation of the non-compete clause stipulated herein, he/she shall be liable to pay to the Company a penalty of at least six (6) months current pay to cover for the expenses for hiring, in-house continuing education programs, internal and external training including client initiated programs onsite or online via the internet, unless a greater amount is warranted by obtaining circumstances bearing on other damages suffered by the company by reason thereof. Subject to the Company’s compliance with the due process requirements prescribed by law, the employee hereby grants the Company the authority to deduct the amount of penalty and/or damages from his salary.


My questions are:

1. Is seeking/accepting another employment violate the conflict of interest clause?

2. Its stated in my contract that I would pay them 6 months of my salary, is that reasonable?

3. When it say " salary " would that mean the gross amount amount I recieved every month. So if I have a 30K monthly salary I would be paying them 180K?

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2 Re: conflict of interest on Sat Feb 28, 2015 8:29 pm

tsi ming choi

Reclusion Perpetua
1. IT depends on your current position in your current company and the "other" position you sought to occupy in another company.

2. Yes resonable. Being a company policy.

3. Yes the gross.

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