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ARTICLE · 20 APRIL 2016

Restrictive Covenants – One Size Doesn't Fit All

Picture the scene ... first thing on Monday morning, your top Sales Manager tells you she has been offered a new job and hands in her notice.

United KingdomEmployment and HR

Picture the scene ... first thing on Monday morning, your top Sales Manager tells you she has been offered a new job and hands in her notice.

Your first thought - can I persuade her to stay? Your second thought – is she going to a competitor and can I stop her?

You can't stop her from leaving, provided she is complying with her contractual notice period.  You may be able to restrict what she does next, if you included appropriate post-termination restrictions in her contract of employment. You need to find her contract quickly ...

The recent decision of the High Court in Bartholomews Agri Food Ltd v Thornton is an important reminder as to how the law views restrictive covenants. Attempts to place restrictions via contracts of employment on post-termination activities will be deemed unenforceable unless the restrictions are carefully drafted and tailored to the particular circumstances.

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