Non-Competition / Non-Solicitation Covenants - Are They Enforceable?

A recent case from Ontario has provided a comprehensive and very useful summary of the law on enforceabilty of restrictive covenants, like non-competition and non-solicitation clauses.  The principles apply in all the common law provinces of Canada, including British Columbia.

The case is called Martin v. ConCreate USL LP and it can be found at Martin v. ConCreate decision

If you are interested in all the case authority, read paragraphs 4 - 47.  For a quick review of the principles, you need only read paragraph 48.

The case highlights again the importance of carefully drafting restrictive covenants in employment agreements and ensuring that no more protection is sought than is reasonably necessary to protect the legitimate business interests of the former employer.

(NOTE:  The Ontario Court of Appeal, agreed with the survey of the law in this case, but overturned part of the result.  See our post on the later decision.)

 

competition employment agreement employment obligation enforceability injunctions Martin v. ConCreate non-competition non-solicitation restrictive covenants solicitation

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