Restrictive Covenants

Restrictive covenants are an important tool to protect business interests and are regularly and legitimately included in terms of employment for senior executives and senior employees.

However, restrictive covenants can be unfairly onerous and should be challenged at recruitment if they go too far.  They may also be unenforceable if they are drafted incorrectly or try to restrict an executive more than they should.

We routinely advise senior executives in relation to the enforceability of post termination restrictions and employee confidentiality requirements.

We can draft or review documentation on behalf of individual clients to ensure that their position is understood and that their interests are fairly represented.

Our Employment lawyers are also able to advise in the context of employers seeking to enforce restrictive covenants and in particular in relation to exit strategies, pre-action correspondence and defence to legal proceedings in relation to employer recovery of damages and enforcement by way of injunctions.

Recent examples of our work in this area include:

• Advising  a senior executive joining a PLC on the enforceability and effect of post-termination restrictive covenants in their new service agreement

• Advising a Chief Executive of an international business on the post termination covenants in their contract of employment and securing, as part of a settlement agreement, a significant reduction in the scope of the covenants

• Defending a former senior employee accused of misuse of confidential information and database rights issues

• Advising on the risks of pursuing a team move to a competing business in the legal sector

• Advising a senior employee and new employer in relation to allegations of breach of restrictive covenants and theft of confidential information in the retail sector

• Assisting a senior executive understand the scope of the restrictive covenants they were being asked to accept, particularly in the context of business connections and knowledge they were bringing to their new employer.

Our specialist team of employment solicitors is described in the independent Legal 500 directory as “excellent”.  In addition, both Partners in our team are recommended by the Legal 500.  Therefore, you can be reassured that you will deal with some of the best employment solicitors in the country.

We are determined and robust on your behalf, but also easy to deal with and clear in our advice.  We will fight your corner but understand that a common sense approach is often required in order to find solutions that work for you in the context of your professional and personal circumstances.

In particular, we offer:

• Clear and straightforward advice.
• Cost-effective support and certainty on costs where you need it.
• Extensive experience of advising senior executives, directors, partners and others with complex employment concerns, including discrimination issues and group claims.
• A credible team that is used to dealing with and acting against large employers and law firms on behalf of our clients.

Our Approach to Costs

We know that clarity on costs is vitally important to our clients. As standard practice, we give our clients an estimate of the costs involved in undertaking any piece of work at the outset. We then provide costs updates on a regular basis.