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Enforcing Restrictive Covenants
Including restrictive covenants in employment contracts is an important way to protect your business. Covenants can be used in various ways but generally focus on preventing others from gaining an unfair advantage. We advise clients on an appropriate strategy, guiding on enforceability and drafting robust restrictions. If a covenant is breached, our experienced litigators will advise you on the best way to enforce these restrictions and protect your business.
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Safeguarding your business interests
Restrictive covenants, if implemented correctly, create a clear framework for both parties, setting out what can and can’t be done after an individual leaves the business. Our employment specialists advise on drafting covenants correctly and with a clear strategy in mind, to ensure that they are enforceable should the need arise.
There are four general types of covenants – non-competition, non-solicitation, non-dealing and non-poaching – care should be taken to choose the most appropriate one(s). We have advised numerous businesses on the implementation of restrictions, making sure that they are relevant and proportionate to seniority of the role. Our advice also considers the standard approach to covenants in your industry, ensuring that they are clearly drafted and that the restrictions are not too wide.
Enforcing restrictive covenants
Our specialist litigation solicitors advise on the credibility of your evidence and whether the covenants in place are likely to be enforceable. If a covenant has been breached, we can advise on the best course of action including seeking an injunction or damages to compensate for lost business. We have specialist lawyers within our team who focus on this area, making sure proceedings are initiated swiftly and effectively.
We often coordinate court ordered searches, if vital confidential information is at risk, to allow the seizure and forensic examination of electronic devices and equipment and prevent further harm being caused. On other occasions we have been able to guide our clients to a swift resolution without the need for court proceedings. We regularly help a range of organisations to successfully resolve restrictive covenant disputes including recruitment companies, energy suppliers, PR and marketing agencies, architects and financial services firms. Our team also acts for individuals, assessing the enforceability of their restrictive covenants and challenging or renegotiating the restrictions.
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