Post Termination Restrictive Covenants & Confidentiality
Post termination restrictive covenants are contractual clauses which aim to restrict your activities when you leave employment.
Post termination restrictions are usually found in the contracts of employment of senior or key employees. However if you have access to confidential information or have good relationships with your customers or influence over other members of staff your employer may want to prevent you gaining from this when you leave their business and perhaps join a competitor.
The typical post restrictions are designed to prevent you joining a competitor, dealing with customers or trying to persuade customers to switch to your new employer or encourage employees to join you. These clauses are known as:
- Non-poaching of employees
Generally, clauses like this which attempt to restrict an employee’s right to compete cannot be enforced unless they are drafted to go no further than is reasonably necessary to protect the employer’s legitimate business interests. We can advise you on whether or not your contracting restrictions are enforceable on exit or help you negotiate less onerous ones when you join a new employer.
Restrictive covenants are a complex and evolving area of employment law. It is vital therefore to get specialist advice.