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12-09-2008, 06:49 PM
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#1
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Junior Member
Join Date: Dec 2008
Posts: 2
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Cleaning Franchise
Wanted some advice.We are in a cleaning Franchise and arent too happy so would like to break away and become independent.
We have no intentions of trying to steal accounts but start our own.
My main concern is the contract does say that once we decide to quit
that we cant get into a competitive situation with them within a year of quitting.In other words we cant start our own business because this is considered competition.
Didnt know if this was enforceable or if there was any way around it.
We are not looking to be dishonest but we dont feel like they are holding there end of the bargain and its not really our business,we are
really working for them and cleaning their accounts.
Anyways would appreciate any input.
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12-09-2008, 11:34 PM
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#2
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Senior Member
Join Date: Jul 2006
Location: Havertown, PA
Posts: 621
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If you signed an NCC, you should honor it. They are expensive and difficult to enforce so it depends on the company. A franchise may fight you because they have two things. 1) the financial resources 2) a precedent to defend.
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12-15-2008, 10:22 PM
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#3
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Senior Member
Join Date: Jul 2006
Location: Indiana
Posts: 131
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Ken, what is an NCC? Just curious, thanks!
__________________
Barry Maddox Midwest Pro Wash
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12-16-2008, 12:35 AM
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#4
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Senior Member
Join Date: Dec 2007
Location: Suffolk, VA
Posts: 386
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Quote:
Originally Posted by Barry M
Ken, what is an NCC? Just curious, thanks!
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Non-compete contract.
I call them non-compete agreements. Maybe I am wrong.
__________________
Torrey Shannon
Executive Director/Spokesperson
Cleaning for Heroes
The only 501c3 nonprofit in the cleaning industry that improves the lives of heroes, one household at a time!
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12-16-2008, 08:15 AM
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#5
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Senior Member
Join Date: Nov 2006
Location: Nebraska
Posts: 164
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I could be wrong but I think it is a non compete clause.
"we don't feel like they are holding there end of the bargain"
If you feel that they are not living up to their signed agreement then you may be able to break away and pursue other business, but your best bet would be to seek professional legal advice.
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12-16-2008, 09:11 AM
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#6
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Junior Member
Join Date: Dec 2008
Posts: 2
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Thanks
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12-16-2008, 09:59 AM
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#7
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Senior Member
Join Date: Dec 2007
Location: Suffolk, VA
Posts: 386
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Quote:
Originally Posted by J4K
I could be wrong but I think it is a non compete clause.
"we don't feel like they are holding there end of the bargain"
If you feel that they are not living up to their signed agreement then you may be able to break away and pursue other business, but your best bet would be to seek professional legal advice.
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DING DING DING!!! I think we have our winner! I believe you are correct. I couldn't spit it out but you came up with my missing word. LOL
Yes, seek legal counsel. The verbiage of your agreement can only be sorted out by an attorney. There is probably many options available to you but you need to be sure before acting and moving forward.
__________________
Torrey Shannon
Executive Director/Spokesperson
Cleaning for Heroes
The only 501c3 nonprofit in the cleaning industry that improves the lives of heroes, one household at a time!
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12-16-2008, 10:58 PM
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#8
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Senior Member
Join Date: Jul 2006
Location: Havertown, PA
Posts: 621
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Quote:
Originally Posted by J4K
I could be wrong but I think it is a non compete clause.
"we don't feel like they are holding there end of the bargain"
If you feel that they are not living up to their signed agreement then you may be able to break away and pursue other business, but your best bet would be to seek professional legal advice.
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06-18-2010, 06:39 AM
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#9
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Junior Member
Join Date: Jun 2010
Posts: 5
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Franchise business
I understand your problem exactly. i would suggest you that cleaning business is very lucrative today but the key point is that you need to start business or franchise with a reputed company. if you starting a carpet cleaning business with a brand name you would be rewarded by free marketing and rewarded several other thing in term benefits.....
here are several companies that provides independent franchise opportunity for entrepreneur ...gives required euipment for cleaning and required training as well
Don't get annoy start with franchise business it works
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07-10-2010, 07:41 PM
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#10
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Member
Join Date: Nov 2009
Posts: 68
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I would check your contract language again.
Franchise I worked for had a two year noncompete, but all it prohibited was the cleaner working for any of their existing clients for two years. Pretty sure no company can prohibit you from going to work in your field if you decide to quit.
Incidentally, my company did have a couple girls go out and solicit business from their clients but I am pretty sure that the franchise won't go any further than having their lawyers write them a nasty letter. Franchises usually won't spend the $$$ to follow through with a suit unless you're a big mucky muck with rare skills or deep trade secrets.
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07-30-2010, 05:11 AM
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#11
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Junior Member
Join Date: Jan 2010
Posts: 16
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Quote:
Originally Posted by Spicnspan
Pretty sure no company can prohibit you from going to work in your field if you decide to quit.
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Here in New Zealand and in Australia as well, these clauses are called "Restraint Of Trade" and they are serious about you NOT working in the same or competing industry, usually within a geographical territory. The clause is what it seems to be, and the clause is treated very seriously. To the point where people have been sued for damages for accepting work where it could have been reasonably expected that the original company could have also been able to secure that same work.
The bottom line with any agreement or contract is..... You sign it, which says "you agree to it" - If I were in the position of the franchisor, and I had an agreement with you whereby you would restrain from trading in the same industry for 3 years, I would expect you to honor it. If you didn't, I would sue you.
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07-30-2010, 10:56 PM
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#12
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Member
Join Date: Nov 2009
Posts: 68
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Quote:
Originally Posted by allwinners
Here in New Zealand and in Australia as well, these clauses are called "Restraint Of Trade" and they are serious about you NOT working in the same or competing industry, usually within a geographical territory. The clause is what it seems to be, and the clause is treated very seriously. To the point where people have been sued for damages for accepting work where it could have been reasonably expected that the original company could have also been able to secure that same work.
The bottom line with any agreement or contract is..... You sign it, which says "you agree to it" - If I were in the position of the franchisor, and I had an agreement with you whereby you would restrain from trading in the same industry for 3 years, I would expect you to honor it. If you didn't, I would sue you.
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Yeah, that's the bottom line in most places. Read your contract carefully, bc its language almost always trumps what's in the law or being done as common practice.
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08-02-2010, 09:29 PM
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#13
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Senior Member
Join Date: Jul 2010
Location: Melbourne Australia
Posts: 169
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when we sign these things we sign with the hope and dream that it all works out the way it should. But sometimes it doesn't and yet we are stuck with the contract we signed. usually the ones here in Australia stipulate that you cant start your own thing within a certain distance from theirs. Check that and see what it says but apart from that, you are probably pretty much stuck with it the way it is.
Good luck with it all though.
Cheers
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08-06-2010, 09:24 PM
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#14
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Member
Join Date: Nov 2009
Posts: 68
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Quote:
Originally Posted by jaycar
when we sign these things we sign with the hope and dream that it all works out the way it should. But sometimes it doesn't and yet we are stuck with the contract we signed. usually the ones here in Australia stipulate that you cant start your own thing within a certain distance from theirs. Check that and see what it says but apart from that, you are probably pretty much stuck with it the way it is.
Good luck with it all though.
Cheers
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That would be awesome in the case of my former company -- they moved their office to a trailer out in the sticks to save money, so their cleaners would have no problem drumming up business outside of the geographical area. In the case of the company I worked for, they made employees sign off on a noncompete clause saying they couldn't work for any former clients for two years after leaving the company (clients have to sign something similar saying they won't employ any workers from the company for two years). Only stops workers from quitting and poaching the company's clients. Seems fair to me.
Oh, I done repeated myself. Main point remains, read anything you sign before going to work for someone!
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08-06-2010, 10:34 PM
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#15
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Junior Member
Join Date: Jan 2010
Posts: 16
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Quote:
Originally Posted by Spicnspan
read anything you sign before going to work for someone!
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Absolutely! This is what an agreement is after all. It is two or more parties reading and understanding all of the terms of the agreement, and signing off to that affect
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