Are non-competition agreements enforceable in BC?

There is a significant amount of misunderstanding and misinformation regarding non-competition agreements. As a result, we commonly see employees who have signed restrictive agreements without understanding how their rights may be impacted. Oftentimes, this is the result of a mistaken belief that non-competition agreements are never enforceable or that their employer would never try to enforce it. This post aims to provide some clarity and clear up some of the misinformation that we come across most frequently.

What is a non-competition agreement?

To begin with, it is important to understand exactly what a non-competition agreement is. Broadly speaking, a non-competition agreement is one that prevents an employee from competing with their employer. This restriction typically applies during the employment and for a set period of time following termination.

However, an employment contract will often contain multiple clauses that prevent them from competing against their employer. One of these clauses will

 

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About the Author

Brendan Harvey advises and represents employees and small businesses at all stages before, during, and after the employment relationship. His primary areas of practice include wrongful dismissal, employment standards, and human rights litigation. If you would like to schedule a meeting with Brendan Harvey or any other of our lawyers, give us a call at 604-988-1000.

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