Restrictive Covenants in Employment and Commercial Contracts

WORKSHOP 101 

*Sponsored by: Fasken

A party to a contract may wish to limit the competition that it may be subject to by another contracting party, whether during the term of the agreement or for a certain period following its termination. Restrictive covenants of this kind can be found in many employment contracts, but also in many different types of commercial agreements, such as leases, distribution agreements or asset purchase agreements. To be considered valid, such clauses must meet certain criteria. As such, they must be limited with respect to the duration, territory and activities that they cover so as to ensure the protection of legitimate interests, otherwise they will be considered to be contrary to public order.

During this conference, we will examine the criteria that determine the validity of restrictive covenants in both the employment and commercial contexts. We will also see that, while they are often subject to the same validity criteria, restrictive covenants in employment contracts are considered much more severe than those found in commercial agreements. After explaining the reasons for this distinction, we will examine recent case law relating to these two types of covenants. Lastly, we will discuss new trends in drafting restrictive covenants of this kind.

Speakers:     

  • Nathalie-Anne Béliveau, Partner, Fasken

When and Where:

  • Monday, April 27 – 11 am to 12:30 pm ET
  • Room: TBD