Restrictive covenants in an employment context are typically clauses in a contract which seek to prohibit an employee from certain activities when the employment contract ends.
The most common restrictive covenants used by employers are:
– non-solicitation (prevents poaching, i.e of clients, customers, suppliers)
– non-poaching (prevents poaching of former colleagues)
– non-dealing (prevents dealing with former clients, customers, suppliers)
– non-compete – (prevents the employee from working in similar employment for a competitor)
A restrictive covenant is deemed void on the grounds of restraint of trade and public policy, unless the employer can show that the restrict covenant (1) is designed to protect the companies legitimate business interests and (2) it extends no further than is reasonably necessary to protect that legitimate business interest.
It is therefore important to have particular regard to the relevant business and employee when drafting the restrictive covenants as opposed to offering the same clauses every time which is often the case.
Legal action in this area can be notoriously difficult and time consuming. If there is a suspected breach of a restrictive it is vital to act quickly and ensure the evidence gathering phase is effective.
If you require assistance in this area then please get in touch.
What Clients Say…
"Blair Toner is an outstanding employment law resource. I have instructed him in every type of employment tribunal hearing and am always impressed by his level of preparation and service offered."Chris Cook, Head of Employment, Partner
“I have instructed Blair Toner in a wide range of employment matters. Having witnessed Blair in action at the employment tribunal, I have first-hand experience of his abilities and skills. His attention to detail and knowledge of the minutest details of the legislation is most impressive, and is what makes him stand out as one of the best advocates I have instructed.”Aarti Jagpal, Solicitor
“Blair represented us in an Employment Tribunal claim from start to finish, including acting as our Advocate at the Trial. At all times Blair was extremely reassuring and professional in guiding us through the process and ensuring that we presented our strongest case. It was great to work with him and he represented us excellently."Kuhrt, Executive Director, West London Mission