Confidentiality and Restrictive Covenant Clauses
When an employee or worker remains in employment with your business, you can rely on the contract of employment to control their actions and protect the business. What about when the employee leaves, especially if this is to a competitor? You may want to issue a confidentiality and restrictive clause in your contracts of employment. Our employment team can help.
If an employee leaves and moves on to a competitor there is always going to be a risk to your business – particularly if that employee had access to trade secrets, customer lists or supplier lists. If they were to use this information in a new job this could undermine your business and severely impact your future trading and stability.
It is important to consider this scenario even from the outset of the employment and build protection into your contracts of employment. It is common to include confidentiality clauses that continue to apply after the employment relationship ends in respect of information that employee becomes aware of during their employment and about trade secrets.
Also, post termination restrictive covenants are very useful. These clauses can be used to prevent an employee, after their employment ends, for a duration of time (usually no more than 12 months) and in a geographic location (potentially nationwide if you operate nationally), from:
- Poaching staff
- Enticing or soliciting clients away from your business
- Working in competition with your business
- We can assist you with preparing contracts of employment with the necessary protection. We can also assist you if you need to enforce confidentiality or restrictive covenant clauses – this can be done by way of a pre-action letter and if not successful a County Court claim to seek either an injunction or damages.
There is lots of information online regarding what support and information there is available for businesses during the Corona Virus outbreak, many of it is hearsay and gossip. Keep up to date with Employment Law in regards to the Coronavirus outbreak here.
Free Initial Consultation
We offer a free consultation to any new HR & Employment client.
2 steps to contacting Howells:
We’ll listen carefully to you, clarify what you’re trying to achieve, and then explain if and how we can help you. We will take some initial information and liaise with a legal professional regarding your case. If it looks like we can help, we will book you in for a consultation with a legal professional.
Our Employment team, is renowned for its no-nonsense, energetic and pragmatic approach. Its success isn’t just down to its extensive knowledge of the law, it’s also the way we pride ourselves on putting our client first, getting to know you and understanding what you want to achieve. To get the best results for you and achieve commercially sensible outcomes it is essential that we understand your business.