₦airaland Forum

It is important to state here that many countries prohibit what can be termed as an act of “unreasonable restraint” and will only grant approval in limited circumstances to protect trade secrets or inventions.

The question here is how should a non-compete clause be drafted to ensure that it is enforceable?

In Aprofim Engineering Nigeria Limited v Bigouret & Anor (2015) and in the case of Andreas. I. Koumolis v Leventis Motors Limited (1973 SC 250/1971 the arguments had been made that restrictive covenants constitute an affront to section 17 (3) (a) and (e) of the 1999 Constitution (as amended) hence, any agreement that is considered as an excessive restraint or unreasonable in nature will not be entertained by the court.

It is therefore important that HR practitioners take note of the following when including a non-compete clause in a contract of employment or when drafting separate restrictive covenants.

1. Such agreement must not be overly broad otherwise it will be difficult to enforce. It must be specific and well defined. It must detail what is to be protected for which the company seeks employees restraint ... click on the link to continue reading: http://www.askkayodemicah.com.ng/2018/05/14/hr-non-compete-clauses-burden-enforceability/

Picture Credit: Legalnaija

askkayodemicah:
It is important to state here that many countries prohibit what can be termed as an act of “unreasonable restraint” and will only grant approval in limited circumstances to protect trade secrets or inventions.

The question here is how should a non-compete clause be drafted to ensure that it is enforceable?

In Aprofim Engineering Nigeria Limited v Bigouret & Anor (2015) and in the case of Andreas. I. Koumolis v Leventis Motors Limited (1973 SC 250/1971 the arguments had been made that restrictive covenants constitute an affront to section 17 (3) (a) and (e) of the 1999 Constitution (as amended) hence, any agreement that is considered as an excessive restraint or unreasonable in nature will not be entertained by the court.

It is therefore important that HR practitioners take note of the following when including a non-compete clause in a contract of employment or when drafting separate restrictive covenants.

1. Such agreement must not be overly broad otherwise it will be difficult to enforce. It must be specific and well defined. It must detail what is to be protected for which the company seeks employees restraint ... click on the link to continue reading: http://www.askkayodemicah.com.ng/2018/05/14/hr-non-compete-clauses-burden-enforceability/

Picture Credit: Legalnaija

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