Do you feel you are subject to unreasonable post termination restrictions? Do you consider that you have been prevented from working following your departure from a former employer?
Restraint of trade clauses contained in contracts of employment, such as those that seek to prevent the employee from working for a competitor after the employment has ended are commonplace. The purpose of a post termination restriction is to protect a legitimate business interest such as confidential information or a client relationship but cannot go so far as to amount to a restraint of trade. Typical clauses will seek to:
- prevent a key employee working for a competitor;
- solicit a client or potential client;
- poach other key employees; or
- interfere with supplier relationships.
In determining whether to enforce clauses of this nature, the courts will take account of the public interest that there be a minimum restriction upon each citizen’s right to work against the employers entitlement to reasonable protection of their legitimate business interests. Any restraint of trade clause should therefore not exceed what is necessary to achieve this protection.
Excessive restraint of trade clauses that are unreasonable can sometimes be subject to renegotiation with an employer, who with hindsight, may appreciate that the initial clauses represent an excessive restriction that would not be enforceable.
If you consider that you are subject to unreasonable restrictions we can provide expert advice and assistance to assess how reasonable such clauses may be and explore whether renegotiation is possible.
If you would like to talk in confidence to one of our experienced solicitors or have any questions about your employment rights then please call us on 01268 240000 or email us at employment@palmerslaw.co.uk.
