UK Power Reserve Ltd v Read: ChD 2014

The court focussed on whether the effect of the words ‘concerned or interested’ in a post-employment restraint was to preclude the ex-employee from having no more than a passive minority shareholding in a competitor, because, if so, they were unreasonably wide.
Held: In the light of a proviso, such was not the effect of the words. But the Court observed in passing that, had such been their effect, he would have severed the covenant and removed them from the remainder in accordance with the four criteria first identified in the Sadler and Marshall cases. He referred in para 87 to the strong body of recent authority which suggested that the law had developed so as to require them to be applied.

Judges:

Mr Jeremy Cousins QC

Citations:

[2014] EWHC 66 (Ch)

Jurisdiction:

England and Wales

Cited by:

CitedTillman v Egon Zehnder Ltd SC 3-Jul-2019
The company appealed from rejection of its contention that its former employee should be restrained from employment by a competitor under a clause in her former employment contract. The court particularly considered the severability of a section . .
Lists of cited by and citing cases may be incomplete.

Contract

Updated: 11 April 2022; Ref: scu.675717