Do you have a non-compete clause in your employment contracts? Are you considering including one? We recently answered this employer question.
“Can we include a non-compete clause in future employment contracts that specify staff cannot work for competitors or clients for a 6-month period after their employment with us ends?”
Answer
In your employment agreements, you are free to insert a restraint clause like a non-compete clause. However, keep in mind that courts are sometimes reluctant to fully enforce restraints in employment settings. If you include a restraint, it’s important to ensure it’s specifically drafted to the specific needs of the business, and that it’s proportionate and reasonable.
If you opt to include a restraint that protects the business’ legitimate interests, it is more likely to be enforceable. This includes things like customer connection and confidential information.
Do you need some HR help with your employment contacts? Lisa and Nick can help you tailor employment contracts to suit the specific needs of your business. Contact us today for a non-obligation discussion.