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Restrictive covenants: Covenant against solicitation of any employees was too wide

This report relates to 1 case(s)

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    TSC Europe (UK) Ltd v Massey [1999] IRLR 22 HC (0 other reports)

A restrictive covenant derived from both the terms of sale of a business and a contract of employment, prohibiting an employee from soliciting any staff from his employer for at least three years, was wider than reasonably necessary for the protection of the employer's interest in maintaining a stable workforce and therefore unenforceable, holds the High Court in TSC Europe (UK) Ltd v Massey [1999] IRLR 22. At the time the covenant was entered into, the parties could reasonably have expected that the employer's small workforce, which was skilled in what was then a novel field, would expand in the future to include personnel less crucial to the business.