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Restrictive covenants

A restrictive covenant is an agreement (usually a clause within a contract of employment) between an employer and an employee that restrains the employee from carrying out certain actions both during employment and in the event that the employment ceases.

The actions that covenants commonly seek to prevent a former employee from carrying out include: competing with the employer (a non-compete clause), taking the employer’s trade secrets and soliciting the employer’s clients and/or staff.


    • Age discrimination
    • Enhanced pay
    • Police

    The 10 most important employment law cases in 2019

    by Stephen Simpson 11 Dec 2019
    by Stephen Simpson 11 Dec 2019

    We round up the most significant cases of the year including legal judgments on CCTV, restrictive covenants, enhancing shared parental leave, collective bargaining and more...

    • Employment law
    • Latest News
    • Employment contracts

    To compete or not compete, that is the question

    by Adam Grant and David Israel 10 Jul 2019
    by Adam Grant and David Israel 10 Jul 2019

    The recent judgment on restrictive covenants in contracts, Tillman v Egon Zehnder, overturned a century-old principle on competition clauses. But...

    • Latest News
    • Employment contracts
    • Restrictive covenants

    Supreme Court overturns long-held principle on non-compete clauses

    by Jo Faragher 3 Jul 2019
    by Jo Faragher 3 Jul 2019

    The Supreme Court hands down a decision that overturns a century-old principle on employee competition clauses.

    • Employment contracts
    • Confidentiality
    • Legal opinion

    Springboard injunctions: Case law shows mixed success

    by Michael Bronstein 21 Sep 2017
    by Michael Bronstein 21 Sep 2017

    Employers often use interim or “springboard” injunctions to protect confidential information after employees decide to leave. But they are not...

    • Employment law
    • Employment contracts
    • Recruitment & retention

    Restrictive covenants: would a “non-compete” clause have kept Mary Berry on the Bake Off?

    by Daniel Pollard and Natasha Adom 31 Oct 2016
    by Daniel Pollard and Natasha Adom 31 Oct 2016

    The Government is considering a ban on restrictive covenants, but would this open the door to more poaching of staff?...

    • Legal opinion
    • Retention of staff
    • Restrictive covenants

    What the Great British Bake Off teaches us about retaining talent

    by Andrea Nicholls 22 Sep 2016
    by Andrea Nicholls 22 Sep 2016

    Fans of the Great British Bake Off are still reeling from the news it will move from the BBC to...

    • Case law
    • Employment contracts
    • Restrictive covenants

    Restrictive covenant breach: £30,000 and injunction for employer

    by Jane Hannon 22 Aug 2016
    by Jane Hannon 22 Aug 2016

    In DLA Piper’s latest case report, the High Court awarded damages of £30,000 and gave an injunction to a company...

    • France
    • Settlement agreements
    • Recruitment & retention

    Employment law in France: five fascinating features

    by Laura Merrylees 8 Jul 2016
    by Laura Merrylees 8 Jul 2016

    What are the key things international employers need to know about employment law in France? Laura Merrylees looks at five...

    • Employment contracts
    • Restrictive covenants

    Non-competition clauses: Government to examine impact on innovation

    by Personnel Today 26 Apr 2016
    by Personnel Today 26 Apr 2016

    The Government is to examine whether or not non-competition clauses in employment contracts are stifling innovation and growth.
    Restrictive covenants,...

    • Garden leave
    • Restrictive covenants

    Restrictive covenant review as the job market recovers

    by Darren Hayward 1 Oct 2015
    by Darren Hayward 1 Oct 2015

    Employers that have not updated restrictive covenants in their employment contracts should do so as the jobs market improves, and...

    • Restrictive covenants
    • TUPE

    TUPE: Protecting employers’ interests with post termination restrictions

    by Peter Finding 3 Jul 2015
    by Peter Finding 3 Jul 2015

    Discussions around the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) often place the emphasis on transferring employees’ rights....

    • Restrictive covenants

    Almost half of employers at risk by failing to review restrictive covenants

    by Claire Scullin 29 Jun 2015
    by Claire Scullin 29 Jun 2015

    Almost half of businesses have not done an audit of senior employees’ contracts in the past year, despite one in...

    • Discipline
    • Dismissal
    • Legal opinion

    Employee misconduct: how to protect the business

    by Yvonne Gallagher 10 Jun 2015
    by Yvonne Gallagher 10 Jun 2015

    A business faced with potentially serious employee misconduct, particularly by someone senior, will face some difficult choices and risks. Yvonne...

    • Garden leave
    • Restrictive covenants

    How employers can protect confidential information

    by Oliver Spratt 29 Apr 2015
    by Oliver Spratt 29 Apr 2015

    Recent statistics have indicated a rise in the number of attempts by employees or former employees to misappropriate an employer’s...

    • Garden leave
    • Restrictive covenants
    • Social media

    Protecting LinkedIn contacts: how to stop departing employees poaching clients

    by Michael Farrelly 7 Jan 2015
    by Michael Farrelly 7 Jan 2015

    The risk of employees using contact lists to poach clients when they leave an organisation is nothing new, but the...

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Personnel Today
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