RESTRICTIONS AND CHANGING ROLES

摘要

Employers frequently include 'restrictive covenants' in employment contracts preventing key employees, at least for a limited period, from competing with the business or poaching clients. These covenants need to be reasonable to be enforceable. Two recent cases in the High Court have highlighted that both the timing of the contract and the employee's acceptance of it are important factors when deciding upon enforceability. In the case of PAT Systems v Neilly [2012] EWHC 2609 (QB), Mr Neilly joined the company in 2000 as an account manager. His contract of employment provided that he was prohibited from working for any competitor for 12 months following the end of his employment.