Restraint of trade

Some common questions about restraints of trade:

No. ‘Gardening leave’ is when an employee resigns but continues to be paid by the business for a set amount of time. During this period of time they are generally not allowed to actually attend the workplace. The idea is similar to a ‘restraint of trade’ clause in that during this time the employee is not able to gather confidential information about the business or its clients, or to begin working for a competitor. A ‘gardening leave’ clause may be included in the Employment Contract when an employee first commences work.

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