12/05/2026
๐๐ง๐๐๐ซ๐ฌ๐ญ๐๐ง๐๐ข๐ง๐ ๐๐๐ฌ๐ญ๐ซ๐๐ข๐ง๐ญ ๐จ๐ ๐๐ซ๐๐๐ โ ๐ฐ๐ข๐ญ๐ก ๐๐๐ซ๐ข๐๐ง ๐๐จ๐๐ค
What is a restraint of trade:
๐ ๐ซ๐๐ฌ๐ญ๐ซ๐๐ข๐ง๐ญ ๐จ๐ ๐ญ๐ซ๐๐๐ is a contractual provision that restricts an employee, for a specified period following the termination of employment, from engaging in activities that compete with the former employer, whether by joining a competitor or establishing a competing enterprise.
The significance of such a provision lies in its function of protecting an employerโs legitimate business interests.
These interests typically include:
- confidential information,
- proprietary trade secrets,
- and established client relationships,
all of which may be vulnerable to exploitation by competitors in the absence of appropriate safeguards.
In order to enforce a restraint of trade, an employer is generally required to demonstrate, firstly, the existence of a legitimate proprietary interest deserving of protection, and secondly, that the restraint imposed is reasonable in its scope, duration, and geographical extent.
๐๐ง ๐ญ๐ก๐ ๐ฉ๐ซ๐๐ฏ๐๐ข๐ฅ๐ข๐ง๐ ๐๐๐จ๐ง๐จ๐ฆ๐ข๐ ๐๐ฅ๐ข๐ฆ๐๐ญ๐, ๐ญ๐ก๐ ๐ฉ๐ซ๐จ๐ญ๐๐๐ญ๐ข๐จ๐ง ๐จ๐ ๐๐ฎ๐ฌ๐ข๐ง๐๐ฌ๐ฌ ๐ข๐ง๐ญ๐๐ซ๐๐ฌ๐ญ๐ฌ ๐ซ๐๐ฆ๐๐ข๐ง๐ฌ ๐ ๐ฆ๐๐ญ๐ญ๐๐ซ ๐จ๐ ๐๐จ๐ง๐ฌ๐ข๐๐๐ซ๐๐๐ฅ๐ ๐ข๐ฆ๐ฉ๐จ๐ซ๐ญ๐๐ง๐๐. ๐๐๐๐จ๐ซ๐๐ข๐ง๐ ๐ฅ๐ฒ, ๐ข๐ญ ๐ข๐ฌ ๐ฉ๐ซ๐ฎ๐๐๐ง๐ญ ๐๐จ๐ซ ๐๐ฆ๐ฉ๐ฅ๐จ๐ฒ๐๐ซ๐ฌ ๐ญ๐จ ๐๐๐จ๐ฉ๐ญ ๐ฉ๐ซ๐จ๐๐๐ญ๐ข๐ฏ๐ ๐ฆ๐๐๐ฌ๐ฎ๐ซ๐๐ฌ ๐ญ๐จ ๐ฌ๐๐๐๐ ๐ฎ๐๐ซ๐ ๐ญ๐ก๐ ๐ฏ๐๐ฅ๐ฎ๐ ๐๐ง๐ ๐ข๐ง๐ญ๐๐ ๐ซ๐ข๐ญ๐ฒ ๐จ๐ ๐ญ๐ก๐๐ข๐ซ ๐๐ง๐ญ๐๐ซ๐ฉ๐ซ๐ข๐ฌ๐๐ฌ.
At Faure & Faure Inc, we are committed to advising clients on the implementation and enforcement of such protective mechanisms with due regard to legal principles and commercial practicality.
For any Labour Law queries, please get in touch with Darian Hock.
Call 021 871 1200 or email [email protected]
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๐๐ฎ๐ซ๐ & ๐
๐๐ฎ๐ซ๐ ๐๐ง๐, ๐ฒ๐จ๐ฎ๐ซ ๐ฉ๐ซ๐จ๐ฎ๐ ๐ฉ๐๐ซ๐ญ๐ง๐๐ซ-๐ข๐ง-๐ฅ๐๐ฐ ๐ข๐ง ๐๐๐๐ซ๐ฅ.