Most contracts of employment, especially for senior and sales generating employees, include restrictive covenants. These are to protect an employer from losing customers and clients when an employee leaves the business. As well as assisting on drafting these covenants as part of a contract of employment or service agreement, Blake-Turner will advise employers on existing restrictive covenants as contained in their current contracts of employment. As case law develops, the covenants need to be looked at regularly to ensure that they are enforceable. The basic rule is that restrictive covenants are void for being an unlawful restraint of trade but a body of case law has grown up over the years which allows employers to protect their legitimate interests by the use of restrictive covenants. However, the court will only protect an employer’s legitimate interests and will look very closely at any restrictive covenants. If they are too wide they will be struck down and the protection will be lost. It is therefore imperative that these are looked at and constantly updated.
On the contentious side, Blake-Turner advise and have acted for employers in seeking to enforce restrictive
covenants in the courts, including obtaining of injunctions to protect them. These involve contracts both drafted by the firm and those of the employer. We have a team which will get up to speed quickly and react quickly to ensure action is taken quickly to protect the employer’s interest.
Conversely Blake-Turner also represents employees on both the non-contentious side in discussing and reviewing potential restrictive covenants to be entered into in a contract of employment. In addition we will advise employees who are subject to challenges by employers for potential breaches of restrictive covenants. This includes defending them in any court actions or injunction actions.
Blake-Turner also regularly advises employees on settlement agreements as well as drafting settlement agreements for employees where employers and employees have agreed a severance package.
To discuss your requirements, please contact Rupert Farr or alternatively click here to fill out an enquiry form.
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