Former employers often restrict their departing employee’s ability to use the know-how and insight gained in their employment to benefit a competitor. Historically, a non-competition agreement might have achieved this end.
The law has evolved, and a recent amendment to Ontario’s Employment Standards Act, 2000, or ESA, has questioned the utility and effectiveness of a non-competition agreement.
This exclusive feature from Sherrard Kuzz explores the factors a court will consider when deciding whether to enforce a non-competition agreement, the impact of recent legislation, and key takeaways for an employer that wants to limit a former employee’s ability to compete post-employment.
