In Dentmaster (UK) Ltd v Kent, the Court of Appeal overturns a refusal by the High Court to grant an interlocutory injunction to enforce a six-month post-termination covenant prohibiting a former employee from soliciting business from those who were his employer's customers during the last six months of his employment and with whom he had dealt at any time during his employment.
In Marshall v NM Financial Management Ltd, the Court of Appeal holds that an agreement to pay a self-employed insurance sales agent commission after the termination of his agency agreement could be enforced, notwithstanding that payment was made dependent upon the fulfilment of certain conditions which were held to be in restraint of trade and so void.
In Wallace Bogan & Co Ltd v Cove and others, the Court of Appeal holds that, in the absence of express covenants in their contracts of employment, there was no implied term restraining solicitors from canvassing clients of their previous firm.
Restrictive covenants may be enforced so long as the covenantee has a legitimate interest to protect and the covenant is no wider than is necessary to protect that interest, holds the Court of Appeal in Dawnay, Day & Co Ltd v de Braconier d'Alphen and others.
In Dawnay, Day & Co Ltd v de Braconier D'Alphen and others, the High Court confirms that the maintenance of a stable workforce is a legitimate interest for protection by means of a restrictive covenant in a contract of employment.
In Lancashire Fires Ltd v S A Lyons & Co Ltd and others the Court of Appeal holds that an employee with access to confidential information about a manufacturing process unique to his employer's business acted in breach of his duty of fidelity by making preparations to set up in business on his own account using that process.
The view that restrictive covenants may remain enforceable in the event of termination due to the employer's own repudiatory breach of contract is a legal impossibility, holds the Court of Appeal in Rock Refrigeration Ltd v Jones and another.
There is no legal basis on which a court can, in enforcing a restrictive covenant by injunction, allow some kind of set-off against the period during which the employee has been on garden leave, holds the Court of Appeal in Armstrong and others v Credit Suisse Asset Management Ltd.
Where in a restrictive covenant case there is evidence that an ex-employee's new business may be "permanently and adversely affected" by the grant of an interlocutory injunction to the former employer, a court has to give some consideration to the relative merits of the parties' cases as they would be determined at full trial, holds the High Court in D v M.
In Alliance Paper Group Plc v Prestwich  IRLR 25 HC, the High Court held that the employer was entitled to enforce a covenant restraining the employee from poaching staff who had been employed by the employer "in a senior capacity".
HR and legal information and guidance relating to contractual clauses to protect the business.