Employment Change - Employeer threatning to sue client

agupta_13

New Member
I am employeed in IT consultancy, and wants to change my employement as a permenent employee of the client(Energy Company).
When i told this to my employeer he is telling me that he can file a lawsuite against my Client(New Employeer) on the bases of Small Business Administantion laws, stated below

Although the contract does not specifically state that the client cannot hire the contractor (you) on a permanent job, it also does not state that the client can. Current Employeer comes under the category of the 'Small Business Administration' under the State and the Federal Governments. Both governments fully support the growth and looks after the interests of small businesses in the country. They have always done it and are even more supportive lately as a result of the struggle small businesses are undergoing in these bad economic times. I have been advised by the company attorney that I contracted you to the client purely on professional and ethical grounds for the benefit of Current Employeer business. If a giant company like Client just takes you away to their advantage, it may not be looked upon favorably by a small business court.

Below is what is in the contract between my Employeer and Client.

1. This agreement is for the sole purposes of providing the services of the Contractor’s employee XXX to (Client).
2. Contractor will be an independent contractor of Company and will work on a Client assignment.
3. Company will pay $XX.00 per hour to Contractor for all the hours of work and expenses approved by Client.
4. All time and expenses should be entered into client’s system and should be approved by the concerned manager or project manager.
5 Company will not pay contractor for any time and expenses not authorized and not approved by Client.
6. Contractor shall be solely responsible for the quality of work performed.
7. Payment terms shall be XX days net and will be made on a bi-weekly basis.
8. The start date and the length of assignment will be determined by Client, and Company shall let the Contractor know in writing before the date on which the consultant starts working for the Client.
9. Contractor reserves the right to offer consultant’s services to other clients until such time the Company and the Contractor executes this agreement as well as a project work order.
10. This is the only agreement between the Contractor and the Company. Changes can be made in writing only and have to be signed by both parties to be effective.
11. This agreement is subject to the laws of the State of Texas.
12. Either party can terminate this contract by giving 2 week’s written notice, via email or physical mail. The notifying party must obtain proof of delivery of such notification to the other party.

IS IT POSSIBLE FOR MY EMPLOYEER TO FILE A LAW SUITE AGAINST THE CLIENT IF I JOIN THE CLIENT AS A PERMANENT EMPLOYEE?

Note:- I do not have any contract signed between me and my employeer.
 
Your employer and client likely have a contract covering this situation. If it states the client cannot hire an individual placed by your current employer and he does, you current employer certainly has the right to sue. It is not your problem other than your potential employer may recind the offer and you will be unemployed since your current employer would not be likely to take you back.
 
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