SA Allowed to Advertise for Business as Individual Contractor?

[Debe0262]

Hi.

I was contracting for a small family run cleaning business, I have my own business and was doing contracting for them. I recently terminated the agreement and they have now told me I am not allowed to send flyers or advertise my business while they are still operating their business ever., even though I have always advertised well before contracting to them.

They are based 80 or more kms away and I only advertise in my local areas. I have now purchased a carpet cleaning franchise and still want to do end of lease house cleans including carpet cleaning as packages. They have in the agreement that the agreement will terminate on my termination. Unless otherwise stated.

In the agreement they have not dated e.g 6months, 12 months etc. I have read as a individual contractor I can advertise as I need to advertise my business.

 

[Lance]

Hi Debe,

That sounds like a very broad restraint clause and I would be surprised if it was enforceable. If it was specific and said you couldn't contract to any of their clients or something a bit more specific it may have a better chance of being enforceable. I personally think this sounds like a scare tactic.

 

[Debe0262]

I'm not sending advertising to their clients, they don't have set clients. I was advertising before contracting. But they told me that while they are in business I'm to cease sending flyers. They are right down South and surely they can't tell me not to ever advertisein my local area.

I'm sure I can work around it but I'm finding it very hard to understand how they can tell me not to advertise while they are in business. How would I even know if they are in business or not. And so many other cleaners send out flyers?

 

[Debe0262]

It's not actually written with dates the dates are blank. It's just what he told me. Also one clause is this agreement will terminate when I terminate my contracting unless otherwise stated but I can't see where else it is stated

 

[Lance]

Hi Debe,

Verbally amending the contract wouldn't hold up.

 

[Tim W]

Don't worry about it.
Do your work, and leave them to pick any fight of their own making.

 

[Debe0262]

Thank you for your help

 

[Debe0262]

I also had to pay him $500 registration for products and training. I had my own products and had been in business for myself for 18months? Is that normal practice?

It's not actually in the agreement; it was separate.

 

[Tim W]

"Had" to pay him?
That's interesting in itself.

It's hard to tell without seeing the documents,
but I suspect you've been had, somewhere along the way.

 

[Debe0262]

Yes he told me I had to pay $500 for cleaning equipment even though I had my own. I received 65% and he wanted couples to work I never saw what he was actually charging the client so I don't even know for sure if I got 65% and that was per couple.