Restraint of trade clauses are an essential feature of employment contracts because they protect the interests of employers whilst also ensuring employees have the right to go ahead and find another job. However striking a balance between these two objectives is something that the courts have struggled with over the years and this case is no different. What does it mean if an employee is prohibited from having an “interest” in a rival company and what approach should the courts take when dealing with such a clause? We find out the answer to those questions and then consider the wider implications for contracts of employment.

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