Question 1:

The story begins when Miss Nona decided to resign from her old employer and within a
week after her resignation, she accepted an offer to a rival company.

The issue arise when she has taken a job offer from a company which is a competitor to her
old employer. The facts of the case mention that upon entering as an employee to her
previous work place, she has signed and agreed to a clause which clearly prohibits her from
taking an employment to a rivalry company within three months of her last day of work.

Thus, the appropriate statement of issue would be, under the Malaysian Contact Act 1950,
does it amount to breach of contract when Miss Nona has taken a new employment to a
rival company within a week after her resignation.

Question 2:

By virtue of Section 28 of Malaysia Contracts Act 1950, a non-competition clause will have
no legal effect. This means that the special clause Miss Nona has agreed to sign upon joining
her previous employer, which prevents Miss Nona from taking a job from a competitor
within 3 three months of her last day of work, is not a valid clause and therefore, she has no
obligation to strictly adhere to the clause.

Does the special clause that prevents Ms Nona from taking a job from a competitor
company within 3 months of her resignation is a valid clause under Malaysian Contracts Act
1950.

Does the previous employer have the right to restrain its employee from taking another job
after the resignation takes effect?