Asked in Business Law

Q: If a company changes it name/restructures are they still liable under the terms that were made with the initial company?

If we were dealing with a company and then the company name changed during the process, they then employed our candidate under the new company name, does this section of our terms of business stand? “Engagement” means the engagement, employment or use of the Candidate by the Client or by any Third Party to whom or to which the Candidate was Introduced by the Client (whether with or without the Employment Agency’s knowledge or consent) on a permanent or temporary basis, whether under a contract of service or for services; under an agency, license, franchise or partnership agreement; or through any other engagement directly or through a limited company of which the Candidate is an officer or employee or through a limited liability partnership of which the Candidate is a member or employee; or indirectly through another company and “Engages” and “Engaged” will be construed accordingly;

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1 Lawyer Answer

A: You will need to have a local business attorney review the terms of your NDA or contract you are referring to and discuss the specific occurrence with you. It is not clear to me if you are posting language from an agreement or quoting some other source. It is also not clear to me if the company changed its trading/doing business as name, or a new entity was formed entirely. If a trading partner changed their legal name to try to circumvent a legal obligation to you, then you very well may have a claim against them.

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