Note, however, that when an employer correctly designs the clause in question and the clause does not go too far in terms of its length and scope, it may well exist in court. Check out our latest blog post to see an example of how a very long non-compete clause usually requires a payment instead of one. This blog is only used for educational purposes and should not be interpreted as a specific legal advice. This blog should not be used as a substitute for competent legal advice from a licensed professional lawyer in your province. The Court of Justice also agreed that the non-competition clause was not applicable because it had an excessively excessive scope. This clause prevented Dr. Park not only from competing with optometry in his company, but also in any company that issues „medically prescription or non-prescription optical devices, including glasses or sunglasses.” The Court recognized that such a restriction would prevent Dr. Park from carrying out a wide range of work that has nothing to do with the practice of optometry. As a result, the clause went beyond what was reasonably necessary to adequately protect IRIS` existing commercial ties. Even if the non-competitive and unsolicted clauses in your contract are unenforceable, you remain liable to your employer if you abuse its confidential information and may be limited in your ability to compete with the company if you have worked in trust.
It is usually worth visiting your friendly neighborhood lawyer to help understand your legal exposure. A non-compete agreement is a contractual clause that prevents you from working for a certain period of time in competition with your former employer. Any employer who wishes to develop or enforce a non-compete clause should be advised by an employment law specialist. As noted above, clauses must be carefully crafted to withstand court review and not apply in all cases. A good lawyer advises on the creation and application of non-competition clauses in order to reduce the harm done to an employer`s business and limit its exposure to sterile litigation. In general, the courts discourage competition and as to whether a confidentiality or non-invitation clause would have been sufficient to protect the interests of the company. Employers should carefully assess the minimum protection necessary to protect their interests. If it is necessary, for example, that the employee does not work for a competitor or if it is sufficient for the employee not to contact any of the clients he worked with after starting with a candidate. Only the minimum protection required is applied by a court. If it`s a live problem at your workplace, or if you`re a manager looking for a new job and wondering if the one you signed five years ago is coming back to follow you, contact us at SpringLaw. We`re here to help.
For more information on non-competition clauses, please contact our human resources advisors at 1 (833) 247-3652. In Canada, courts have generally refused to abide by agreements that restrict a person`s ability to earn a living or to perform the work of his or her choice. Indeed, the courts defend the first position that restrictive agreements do not apply in employment contracts, unless the employer can prove something else. A restrictive bund must jump through several tires to be considered applicable. How can you determine whether a non-compete or non-demand clause is maintained? Canada is a different story. Non-demand is a more common option because of the difficulties faced by many companies in enforcing competition agreements. Most of the time, the courts will apply a non-invitation agreement to prevent the game of a former employee.