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Focus on Labour and Employment Law - Restrictive Covenants: A Primer for High Tech and Other Employers
Author(s): Coulter, Catherine
Date: March 1 2001

With the explosion of high tech companies in Canada has come a shortage of talented and experienced employees to work for those companies. Whichever high tech centre your company is located in, the chances are that the hiring and retention of experienced employees is an ongoing challenge. 

If your offer is right, it can be easy enough to entice experienced employees from your competitors. But what are the restrictions facing both you and your incoming employees if you do so? At what point does simple recruiting lead to a claim against your company for breach of restrictive covenants? On the other hand, what recourse do you have if another company seems to be targeting some of your employees for their special skills or knowledge? Can you prevent competitors from taking advantage of the years of training and specialized knowledge that you have invested in your employees?

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