Jurisdiction(s):
United Kingdom

Key definition

Restrictive covenants definition

What does Restrictive covenants mean? In legal practice, restrictive covenants are contractual promises not to engage in specified activities, typically competing with a business, soliciting or dealing with its customers or suppliers, or poaching its staff. The term is descriptive rather than statutory, and enforceability is governed primarily by case law applying restraint of trade principles across England & Wales, Scotland, Northern Ireland and Ireland. A restrictive covenant will only be enforceable if it protects a legitimate business interest (such as goodwill, confidential information or workforce stability) and goes no further than is reasonably necessary in scope of activities, duration and geographic reach. Confidentiality provisions are...

Post-termination Employment Restrictions: Restraint of Trade, Non-Compete, Non-Solicitation/Dealing and No-Poaching—Drafting, Reasonableness and Developments

Published by a LexisNexis Employment expert

Practice notes

This Practice Note explores why post-termination restrictions (Restrictive covenants) might be required within contracts of employment, as well as the usual categories commonly adopted in practice.

For guidance:

on interpreting post-termination restrictions, see Practice Note: Construing post-termination restrictions
on whether a post-termination restriction is incorporated into the contract, see Practice Note: Incorporation of post-termination restrictions
on assessing the reasonableness of post-termination restrictions, see Practice Note: Post-termination restrictions—reasonableness
on leading decisions concerning the enforceability of post-termination restrictions, see Practice Note: Decisions on post-termination restrictions and Garden leave in employment contracts

The need for post-termination restrictions

During employment, including any spell of garden leave directly before termination of employment (see Practice Note: Garden leave and the right to work), an employee remains subject to a range of implied obligations owed to their employer and must observe them accordingly...

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Web page updated on 21/05/2026

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