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17 April 2014 / Tom Walker
Issue: 7603 / Categories: Opinion , Terms&conditions , Employment
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Time up for template covenants?

Tom Walker & Richard Marshall explain why some employees may have less waiting time between jobs in future

Over the last year, a series of cases has given useful guidance on the permissible length of covenants seeking to restrict an ex-employee’s client dealings.

Post-termination restraints are void unless the employer can demonstrate a legitimate business interest and show that the wording of the covenant goes no further than what is reasonable. It is accepted that client goodwill is a protectable interest and that relatively short periods of restraint, some six to 12 months, are permissible. The recent case of East England Schools CIC v Palmer and Sugarman [2013] EWHC 4138 (QB) challenged this approach in the context of a school recruitment agency.

An employee with six-month client covenants, Palmer, began to contact her former client schools very soon after joining her new employer, Sugarman. Her former employer, East England Schools (EES), sought an injunction and the matter ultimately came to a full trial to assess the reasonableness of the client covenants. The

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MOVERS & SHAKERS

Arc Pensions Law—Matthew Swynnerton

Arc Pensions Law—Matthew Swynnerton

Chair of the Association of Pension Lawyers joins as partner

Ampa Group—Kamal Chauhan

Ampa Group—Kamal Chauhan

Group names Shakespeare Martineau partner head of Sheffield office

Blake Morgan—four promotions

Blake Morgan—four promotions

Four legal directors promoted to partner across UK offices

NEWS

The abolition of assured shorthold tenancies and section 21 evictions marks the beginning of a ‘brave new world’ for England’s rental sector, writes Daniel Bacon of Seddons GSC

Stephen Gold’s latest Civil Way column rounds up a flurry of procedural and regulatory changes reshaping housing, alternative dispute resolution (ADR) and personal injury litigation
Patients are being systematically failed by an NHS complaints regime that is opaque, poorly enforced and often stacked against them, argues Charles Davey of The Barrister Group
A wealthy Russian divorce battle has produced a sharp warning about trying to challenge foreign nuptial agreements in the wrong English court. Writing in NLJ this week, Vanessa Friend and Robert Jackson of Hodge Jones & Allen examine Timokhin v Timokhina, where the High Court enforced Russian judgments arising from a prenuptial agreement despite arguments based on the landmark Radmacher decision
An obscure Victorian tort may be heading for an unexpected revival after a significant Privy Council ruling that could reshape liability for dangerous escapes, according to Richard Buckley, barrister and emeritus professor of law at the University of Reading
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