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Saturday, 22 December 2007

employment and restrictive covenants

Any employer, especially those with regular customers, fears that a member of his staff might leave, go to a competitor or set up on his own and solicit his customers.

Often, an employment contract will contain a restrictive covenant prohibiting the employee from doing this. The courts are quick to strike down such covenants as being in "restraint of trade" unless they are just, and only just, wide enough to protect the employer's legitimate business interests.

However, in a blatant case, the court can find that the employee is in breach of the covenant , that the former employer lost the chance of orders from his former customers. and will assess damages

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Call Michael Breeze on 07900 195 195 or call 0845 270 2511 to if you need legal advise about any of these issues