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ARTICLE · 12 JANUARY 2017

Recent Cases Confirm Obligations When Holding Former Employees To Non-Competition Covenants

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Two recent decisions, one from the Ontario Superior Court of Justice and another from the B.C. Supreme Court, provide employers with further insight into what is required...

CanadaEmployment and HR
Kyle Lambert
Kyle Lambert
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Two recent decisions, one from the Ontario Superior Court of Justice and another from the B.C. Supreme Court, provide employers with further insight into what is required if one is to hold a former employee to a non-competition covenant.

United Rentals of Canada Inc. v. Brooks

The first decision, United Rentals of Canada Inc. v. Brooks, involved a delivery company attempting to hold a former driver to a non-competition agreement that had been signed approximately four years after he began working for the company. After Brooks left United to work for a competitor, United sued for breach of the non-competition agreement. In response, Brooks brought a motion for partial summary judgment, arguing that the agreement was unenforceable because he signed it without receiving consideration from United.

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