Questions & Answers
I have been working with a client for the past year through a service company
Hello Everyone,
I have been working with a client for the past year through a service company. The client has decided not to continue the contract with the service company, and instead, they have offered me a position through their consulting company, which I have accepted.
I have also resigned from the service company, but on my last day, they pressured me to send an email stating that I would not be working for the client, either directly or indirectly.
I have not signed any NDA or contract apart from the MOHRE contract. Now, the service company is threatening to take legal action and blacklist my visa if I join the client.
Do they have the legal right to do this?
Dear Client,
Thanks for your question!
I hope you are doing well. I will assist you in this matter.
In your situation, the service company does not have the legal right to blacklist your visa or take legal action against you for joining the client after winning both the MoHRE case and the embezzlement case.
Since you have resigned and accepted a position with the client, any pressure from the service company to prevent you from working with them may not hold up legally, especially if you have not signed any non-disclosure agreements (NDAs) or contracts prohibiting such employment.
The email they pressured you to send may not be legally binding, particularly if it was sent under duress.
It is advisable to consult with us to ensure your rights are protected and to discuss potential actions you can take against any threats from the service company.
Thanks & Regards,
ABDUL WAHIED
Hello,
Under UAE Labor Law, a non-compete agreement must be reasonable in terms of time, geographical scope, and type of work.
If you did not sign such an agreement, the service company cannot impose one retroactively, nor can they prevent you from joining the client through their consulting company, unless there’s a specific clause in your contract (e.g., preventing you from working with the client for a period of time after leaving the service company).
If the service company continues to pressure you or threatens to blacklist, you can file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE), as they handle employment disputes and can intervene if the company is acting unfairly or unlawfully.
Dear Questioner,
Thank you for reaching out. Based on your inquiry, I would like to provide a detailed response addressing the concerns raised regarding your employment transition and the threats made by your previous service company.
Non-Compete Clauses: Since you have mentioned that you have not signed any non-compete or non-solicitation agreements with the service company, and no NDAs are in place, it appears that the service company does not have a strong legal basis to prevent you from joining the client directly.
UAE law generally allows employees to transition to another employer unless there are specific contractual clauses prohibiting such moves.
Visa Blacklisting: With regard to the threat of visa blacklisting, employers in the UAE cannot blacklist an employee’s visa unless there is a valid and legal reason, such as a breach of contractual obligations or involvement in criminal activities.
Since there is no mention of any such violation in your case, the company’s threat to blacklist your visa does not appear to be legally justified.
If the company attempts to do so, you may file a complaint with the Ministry of Human Resources and Emiratisation (MOHRE) to resolve the matter.
Resignation and Employment with Client: If you have properly resigned from the service company, and there is no contractual restriction preventing you from joining the client, you are within your rights to accept the new position.
As long as there are no enforceable legal clauses restricting your employment, the service company cannot prevent you from joining the client.
It is also important to keep records of all communications with the company regarding their demands and threats, which may be useful in case of any legal disputes.
Recommended Actions:
Review your employment contract thoroughly to confirm whether there are any clauses regarding non-compete, non-solicitation, or other restrictions.
Document any correspondence with the service company, especially any threats of legal action or visa blacklisting.
If the company continues to pressure you or attempt to blacklist your visa, you have the option to file a complaint with MOHRE or take legal action if necessary.
Should the service company decide to take further legal steps, I recommend consulting directly with me or another legal expert to assess the situation in more detail and determine the best course of action.
In summary, based on the available information and UAE labor laws, you should not face legal consequences for joining the client unless there are specific contractual restrictions that we are unaware of.
I suggest reviewing your contract for any such clauses and considering formal legal action if the service company persists with threats or unjust actions.
If you require further clarification or assistance, please feel free to reach out.
Best regards,
Mohammed Salah
Legal Consultant
According to UAE law, the service company cannot take legal action or blacklist your visa simply because you join the client, especially if there is no contract or agreement preventing you from doing so.
If there is no binding agreement or clause that restricts you from working directly with the client, the service company has no legal grounds to impose such actions.
Our office specializes in these matters and can guide you through the process. Feel free to contact us via WhatsApp for more details.
Hello,
Based on the information provided, your case involves important aspects of UAE labour law, which I will address to clarify your legal position.
First, since you have not signed any non-compete clauses, NDAs, or agreements apart from the MOHRE (Ministry of Human Resources and Emiratisation) contract, your obligations toward the service company are limited to what is outlined in that contract and the provisions of Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations.
Under Article 10 of the Labour Law, non-compete clauses are only enforceable if they are expressly agreed upon in writing, are reasonable in scope (time, place, and type of work), and serve to protect the legitimate business interests of the employer.
Since you did not sign such a clause, the service company cannot legally prevent you from working for the client.
Regarding the email you were pressured into sending, this may complicate matters slightly, as the service company could argue that it constitutes a form of commitment.
However, since this was done under duress and there was no formal agreement, it may not hold legal weight. UAE labor law strongly prohibits coercion or undue pressure on employees, and this could work in your favor if the matter escalates.
As for the threat to blacklist your visa, the service company cannot unilaterally blacklist you unless there is a legal basis, such as a violation of UAE labor law or a breach of a signed agreement.
If they proceed with such threats, you have the right to file a complaint with the MOHRE, as the blacklisting process must follow legal channels and be supported by evidence of wrongdoing.
If you would like further assistance in addressing this matter or representation during the process, please feel free to contact me directly by phone or email.
