INTRODUCTION
Non-compete agreements, also known as "covenants not to
compete" or "contracts in restraint of trade,"
have always attracted legal scrutiny in many jurisdictions,
including Nigeria. This scrutiny has been intensified in Nigeria
following the enactment of the Federal Competition and Consumer
Protection Act, 2018 (the "FCCPA"),
which seeks to promote fairness and competition across Nigerian
markets, including the labour market, ensuring that business
practices do not unduly disrupt market dynamics.
Traditionally, agreements restricting an individual's
ability to freely engage in business or trade have been viewed with
suspicion and are often considered anti-competitive.1 In
some cases, these restrictions could suppress innovation, limit
consumer choices, or create monopolistic market conditions.
However, there are situations where carefully structured
limitations are necessary to maintain fairness and healthy
competition.
