Unreasonable Restrictive Covenant Declared UnenforceablePosted in : Immigration and Employment Updates on 22 August 2016 Issues covered:
The purpose of it is to protect the employer's confidential information, customer connections, its goodwill and the stability of its workforce. However, it is important to note that such covenants are not always appropriate or even enforceable. This article will examine a recent case in which the restricted covenant was declared unenforceable.
Facts of the Case
Mr Thornton (the “Respondent”) worked for Bartholomews Agri Food Limited (the “Applicant”) as an agronomist. The Respondent started his employment in 1997 as a trainee and over the next 18 years, despite taking a de facto more senior role, remained on the same contract throughout. This contract contained a restrictive covenant whereby
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This article is correct at 22/08/2016
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