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Dec 10, 2017 in Commercial

Restraints: Business sale agreements vs. employment contracts

Restraint clauses are not ‘one size fits all’. Typically, courts look less favourably on restraints imposed on an employee than restraints imposed on a vendor to protect the goodwill of a business in a sale. So to be enforceable, restraints need to be considered and drafted appropriately for the circumstances for which they are being used.In Australia, restricting a person’s freedom to work for a competitor is generally contrary to public...

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