Restrictive Covenants

A restrictive covenant is an agreement between the employer and employee safeguarding the company by restricting the employee from doing certain things following the termination of employment.

Common restrictive covenants include a clause to remove the ability for the former employee to contact clients or to conduct business with any new employer within a specific geographical area.

Not all restrictive covenants are however enforceable and therefore it is essential to ensure that employment contracts are appropriately constructed to make such agreement enforceable.

Chattertons also assist businesses when they recruit employees with restrictive covenants to challenge the validity of a contract and/or advise clients of any solutions that will enable the issue to be resolved.