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Protecting your interests after employees leave/Non-Competition Covenants

June-1-2001

Area Employment and Labour

Summary


Today’s business environment requires that employers make every effort to ensure that employees who have left their employment do not go on to make improper use of the confidential business information, technological information and client relationships belonging to their former employer. In attempting to protect themselves, employers too often rely upon only noncompetition covenants. However, as courts continue to show an increasing reluctance (if not an outright refusal) to enforce non-competition clauses, employers must consider other methods of protection against the actions of departed employees. This is particularly true, given that these other methods may well provide sufficient protection. This update will review these other methods of protection.


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