Employee solicitation: Do you have any recourse?

March 16, 2014 0 COMMENTS

By Sébastien Gobeil

We have often reported on how Canadian courts enforce, or do not enforce, noncompete and nonsolicitation clauses. But those cases have focused on the solicitation of the former employer’s customers or clients. What happens when a former employee solicits your employees to leave, leading to a series of resignations? Do you have any recourse? read more…

Post-contractual duty to act faithfully: a protection limited to a (too) reasonable period

October 21, 2012 0 COMMENTS

by Isabelle East-Richard

Throughout Canada, whether under article 2088 of the Civil Code of Québec in Quebec or the common law elsewhere, employees have a duty to act faithfully and honestly toward their employer once the employment relationship has ended. That is the case even when there is no noncompetition clause in an employment contract.

Although some have thought that this duty to act faithfully and honestly may give employers protection against competition from their former employees, that protection may be limited. Indeed, in 9129-3845 Québec inc., the Quebec Court of Appeal recently said that it was reasonable for such a duty to last only three months following the termination of employment.

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Canadian Employers Need to be Careful with Nonsolicitation Clauses

February 07, 2011 0 COMMENTS

By Clayton Jones and Derek Knoechel

The common wisdom is that Canadian courts are much more willing to enforce nonsolicitation clauses in employment contracts than noncompetition clauses. While this may often be the case, nonsolicitation clauses will still be closely scrutinized by the courts.

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