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ARTICLE · 05 JULY 2021

Practical Advice To Protect Against Solicitation And Competition Risks

Walker Morris' Commercial Dispute Resolution specialists Gwendoline Davies, Nick McQueen and Rebecca Jackson provide practical advice for businesses concerned to protect against shareholders...

United KingdomEmployment and HR

Walker Morris' Commercial Dispute Resolution specialists Gwendoline Davies, Nick McQueen and Rebecca Jackson provide practical advice for businesses concerned to protect against shareholders and counterparties trading in competition.

Why is this case of interest?

Walker Morris has published advice in recent months about how businesses can protect themselves from the risk of employees or ex-employees using confidential information, strategic plans, customer/client details or other important information relating to their employer's business to benefit a rival business, through the imposition and enforcement of restrictive covenants in their employment contracts 1.

The recent case of Score Draw Ltd v PNH International Ltd 2 concerns breaches of restrictive covenants in the wider commercial context, where the restrictions were contained in a shareholders agreement (as opposed to an employment contract).

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