Yes they are and Courts uphold restrictive covenants every day.
A perception has arisen that restrictive covenants in an employment contract are not enforceable and that employers need not bother with them. This is though completely wrong. Court will uphold covenants that are properly drafted and seek to protect a legitimate business interest, usually;
- Confidential information
- Business relationships with customers and suppliers
- The integrity of the employer’s workforce
It is not enough to simply seek to protect your business from ‘competition’ but if you are introducing your staff to your valued customers and sharing with them highly sensitive business information, it is vital that you use the protections available to protect your business. This can only be done through your employment contract with the employee as the law generally will not grant you any kind of protection once the employment ends.
Nockolds specialist Employment Team can assist you in drafting enforceable covenants and also in taking legal action to uphold the covenants you have in place to protect your business. Please speak with our team on 0345 646 0406 or fill in our online enquiry form and a member of our Team will be in touch.
In addition our Gary Smith will be hosting a free online webinar on 22 February 2023 on how to draft enforceable covenants, full details can be found here.