- Restrictive covenant in commercial agreement for marketing and sales services held enforceable (Credico Marketing Ltd and another v Lambert and others)
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Restrictive covenants
- Case details
Commercial analysis: The court upheld the operation of two restrictive covenants in a commercial trading agreement with a company providing marketing and sales services via independent sales advisors (which had similarities to a franchise agreement). The first restrictive covenant only operated within the lifetime of the agreement; whereas the second operated post-termination. The case provides a useful analysis of the law relating to restrictive covenants and the enforceability of the same. In particular, the sort of factors that influence the court’s view of reasonableness are considered. Written by Christopher Snell, barrister at New Square Chambers.
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