In a landmark judgement, the appellate division of Qatar International Court has turned down the plea of a company to prevent a former expatriate employee from joining another company.
The Appellate Division of the Qatar International Court has dismissed an appeal brought by Chedid & Associates Qatar LLC against the decision of the First Instance Court, which stood in favour of one of Chedid's former employees, Said Bou Ayash.
The Appellate Division found that a clause in Ayash's contract which prevented him from working for a competitor, once his employment with Chedid had ceased, constituted "an unreasonable restraint on trade".
The Appellate Division observed that: "Qatar has always welcomed foreign nationals willing to provide services that might otherwise be unavailable or in short supply.
It is in the public interest that a foreigner, who has taken up employment with one employee, should be free to continue to provide services by taking up employment with an alternative employer should his initial employment come to an end."
SHOW_GAD
Here's and excerpt from the judgement:
"Ayash came to Doha to carry on the business of insurance broking, in which he now has many years of experience. He and his wife have had two children since they came to live here. They have made Qatar their home. To prevent him from twelve months from carrying on the trade in which he specialises would be likely to result in him and his family having to leave the country... As against the interests of the general public and the Defendant himself, we do not consider that the Claimant had a legitimate interest in preventing the Defendant from working for a competitor."
A release from the Court said yesterday that the full text of the judgment will be made available on the QICDRC's website. [The Peninsula]
