header-logo header-logo

09 March 2007
Issue: 7263 / Categories: Case law , Law digest
printer mail-detail

EMPLOYMENT LAW

Thomas v Farr plc [2007] EWCA Civ 118, [2007] All ER (D) 240 (Feb)

To establish that a non-competition clause in an employment contract was reasonably necessary for the protection of the employer’s interest in confidential information, the employer must first establish that, at the time of the contract, the nature of the proposed employment was such as would expose the employee to information of the kind capable of protection beyond the end of the contract, ie trade secrets or other information of equivalent confidentiality.

If the employer overcomes that hurdle, it is no argument against a restrictive covenant that it may be difficult for either the employer or the employee to know where exactly the line may lie between information which remains confidential after the end of the employment and information which does not.

The fact that the distinction can be hard to draw may support the reasonableness of a non-competition clause, since it is because there may be serious difficulties in identifying precisely what is or what is not confidential information that a non-competition clause

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Clyde & Co—Suriya Ashok

Clyde & Co—Suriya Ashok

Clyde Co strengthens energy transition and construction offering with hire of Suriya Ashok

Jurit—Nicole Gallop Mildon

Jurit—Nicole Gallop Mildon

Jurit appoints rare dual-qualified lawyer to expand Anglo-French private wealth expertise

NEWS
A child’s views can be taken into account during international child abduction proceedings, the Supreme Court has held
Small and medium-sized law firms have urged regulators to pause plans to exclude owner-managers from compliance officer roles
Lawyers have raised the alarm on employment tribunal delays and backlogs, with some cases facing a three-year wait for a hearing
The controversial assisted dying Bill has drawn to a halt after MPs defeated it by 286 votes to 270
MPs have called for legislation to protect against the human rights risks of artificial intelligence (AI)
back-to-top-scroll