Tag: nonsolicitation clauses

Surprising pro-employer decisions on post-employment restrictive covenants

by Kyla Stott-Jess and Stefan Mirkovic Employers often place great faith in restrictive covenants to protect their assets when hiring key employees. In Canada however, noncompetition clauses have generally been very difficult to enforce outside of the context of a sale of business. Nonsolicitation clauses have also been carefully scrutinized by judges even though they […]

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Employee solicitation: Do you have any recourse?

By Sébastien Gobeil We have often reported on how Canadian courts enforce, or do not enforce, noncompete and nonsolicitation clauses. But those cases have focused on the solicitation of the former employer’s customers or clients. What happens when a former employee solicits your employees to leave, leading to a series of resignations? Do you have […]

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Post-contractual duty to act faithfully: a protection limited to a (too) reasonable period

by Isabelle East-Richard Throughout Canada, whether under article 2088 of the Civil Code of Québec in Quebec or the common law elsewhere, employees have a duty to act faithfully and honestly toward their employer once the employment relationship has ended. That is the case even when there is no noncompetition clause in an employment contract. […]

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Canadian Employers Need to be Careful with Nonsolicitation Clauses

By Clayton Jones and Derek Knoechel The common wisdom is that Canadian courts are much more willing to enforce nonsolicitation clauses in employment contracts than noncompetition clauses. While this may often be the case, nonsolicitation clauses will still be closely scrutinized by the courts. Two recent cases from British Columbia emphasize the danger for employers […]

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